Comparing the Great Gatsby and American Beauty - 1954 Words

Set in the summer of the Roaring Twenties, The Great Gatsby follows the hedonistic and destructive lifestyles of the upper social classes of post-war America. This novel, written by F Scott Fitzgerald in the same time period, criticizes the shallowness of the actions of this outlandish generation and their eventual disillusionment with their society. American Beauty, the 1999 film directed by Sam Mendes and written by Alan ball, uses the setting of contemporary middle-class suburban America to examine the differences between the inner and outer realities of a â€Å"typical† American Beauty are obvious in connection between Fitzgerald’s The Great Gatsby and Mendes’ American Beauty are obvious in the themes, plots and the actions of the†¦show more content†¦The colossal dream that Gatsby builds up and holds onto eventually becomes his downfall and is the most prominent illustration of the failure of the American Dream in The Great Gatsby. Although it is the repercussions of their deceptive fantasies that Gatsby and Lester fall victim to, it was their continued search for love that leads them to these. Love is the principal value in The Great Gatsby and is illustrated best by the contrast of Gatsby’s idealized romantic love for Daisy with Daisy’s â€Å"love† for wealth and status, a love which is common to the majority of their irresponsible society. F Scott Fitzgerald emphasizes Gatsby’s â€Å"romantic readiness† through this contrast as well as Gatsby’s fall from grace that results in him becoming lost in â€Å"the colossal vitality of his illusions† (pg. 92). Daisy characterizes the power of a love of money in the Great Gatsby and is used by Fitzgerald in condemning Gatsby’s hedonistic society as well as his own. However it is the absence of love –rather than the presence- that is most prominent in AmericanShow MoreRelated F. Scott Fitzgeralds The Great Gatsby Essay1411 Words   |  6 PagesScott Fitzgeralds The Great Gatsby The greatness of an individual can be defined in terms far beyond tangible accomplishments. In F. Scott Fitzgeralds classic American novel, The Great Gatsby, Jay Gatsbys greatness comes from his need to experience success and his will to achieve his dreams. Nick Carraway narrates the story, and his cousin, Daisy Buchanan, is Gatsbys love. Daisy, however, is married to Tom Buchanan, a wealthy, arrogant womanizer who despises Gatsby. Gatsby feels the need toRead MoreElizabeth Barrett Browning And F. Scott Fitzgerald s The Great Gatsby984 Words   |  4 PagesThe universal values portrayed through the texts ‘Sonnets from the Portuguese’ (1845) by Elizabeth Barrett Browning and F. Scott Fitzgerald’s novel ‘The Great Gatsby’ (1926) highlight the similar and different intertextual perspectives and values relevant to the Victorian Era and 1920 s Jazz Age. Both composers offer compelling critiques of their society dedicating thematic concerns of the restorat ive power of hope and courtly idealised love. Through numerous literal techniques, substantial diversityRead MoreThe Great Gatsby By F. Scott Fitzgerald1302 Words   |  6 Pagesto navigate, but with hard work, drive and passion, it is possible to achieve the American Dream. In F. Scott Fitzgerald’s novel The Great Gatsby, Jay Gatsby had a second opportunity in changing his life. Growing up, Gatsby was different from everyone else. He had a big dream and knew what would be the best for himself. He believed that wealth, material possessions, and power are the core principles of the American Dream. The pursuit of a better life led countless numbers of foreign immigrants toRead MoreThe Decay of a Dream in F. Scott Fitzgerald’s The Great Gatsby1582 Words   |  7 PagesThe Decay of a Dream in The Great Gatsby      Ã‚   The central theme of The Great Gatsby is the decay of the American Dream. Through his incisive analysis   and condemnation   of 1920s high society, Fitzgerald (in the person of the novel ¹s narrator, Nick Carraway) argues that the American Dream no longer signifies the noble pursuit of progress; instead, it has become grossly materialistic and corrupt. Fitzgerald ¹s novel is structured as an allegory (a story that conceals another story): the terribleRead MoreF. Scott Fitzgerald s The Great Gatsby1553 Words   |  7 PagesF. Scott Fitzgerald uses Nick in The Great Gatsby to develop a new view of the American dream by exploring the illusion of unending pleasure that it seems to provide. At first glance the American dream promised success and wealth that was almost limitless. An era characterized by extravagant parties and displays of wealth was built on an illusion that it would continue without end. Soon, people lost track of the work that got them there and began t o be concerned more about the display of wealth thanRead MoreThe Relationship Between Daisy And Gatsby By F. Scott Fitzgerald1160 Words   |  5 PagesNimeesha Pokala Mrs. Fisher CP English 11 15 December 2014 The Relationship between Daisy and Gatsby Everyone tries to fix the mistakes they have made, but in The Great Gatsby by F. Scott Fitzgerald shows us that the wealthy can sneak away from their problems and let other people take responsibility of the mess that they have made. Nick says, â€Å"He took out a pile of shirts and began throwing them, one by one, before us, shirts of sheer linen and thick silk and fine flannel, which lost their foldsRead MoreThe Great Gatsby by F.Scott Fitzgerald 1249 Words   |  5 PagesThe Great Gatsby-one of the most interesting books that describes American life and society in the 1920s.Novel was written by F. Scott Fitzgerald in 1925. Story primarily describes the young, mysterious millionaire Jay Gatsby and his passion for the beautiful Daisy Buchanan. Novel includes themes of idealism, resistance to change, social differences, American dream, Injustice, power, betrayal, Importance of money, careless, callousness. Scott Fitzgerald sets up his novel into separate social groupsRead MoreAna lysis Of The Poem The Waste Land Essay1714 Words   |  7 PagesEnvoking T.S. Eliot’s poem â€Å"The Waste Land†, the â€Å"Valley of Ashes† depicted in The Great Gatsby serves a multitude of symbolic functions. It primarily provides significant contrast to East and West Egg. This contrast is not simplistic, as Fitzgerald guides the reader into understanding that the areas are inextricably linked in terms of the American dream and moral corruption. Furthermore, the Valley of Ashes is a physical manifestation of the theme of death and mortality constantly being threadedRead More Comparing F. Scott Fitzgerald and Ernest Hemingway Essay1214 Words   |  5 PagesComparing F. Scott Fitzgerald and Ernest Hemingway F. Scott Fitzgerald and Ernest Hemingway, though both evolved from the same literary time and place, created their works in two very dissimilar writing styles which are representative of their subject matter. The two writers were both products of the post-WWI lost generation and first gained notoriety as members of the American expatriate literary community living in Paris during the 1920s. Despite this underlying fact which influenced

Analysis Of The Article A College Education Should...

Forget About Stranger Danger When entering college, there are many things to consider. Having to make such important life decisions can be very overwhelming for a high school senior. Not only are teenagers expected to make a decision on where they are going to potentially be spending the next four years, but they are also deciding who and how that is going to look like. In the article â€Å"A college education should include rooming with a stranger,† Ann Altman uses emotional diction to persuade readers to consider what their living conditions will be like their first year of college. Arguably, throughout the entire article, Altman uses pathos to connect with and persuade the reader. This article is full of emotionally charged words that invoke the reader’s feelings. The article states that â€Å"change in the social dynamic of leaving for college-and facing homesickness- makes roommates all the more important† (Altman, 2014). This quote uses the word â€Å"homesick,† which to most people has a negative connotation. By bringing up the point that the student may become homesick in college and that a new roommate would help, Altman tries to make the reader think that the situation could all be avoided. She uses other words such as â€Å"change† and â€Å"leaving† to remind the reader that emotions typically are running high at this time, and implies that having a new roommate could help to forget about that. Another example of Altman using emotionally stimulated words can be found in the followingShow MoreRelatedPurpose of Evaluating Customer Service Policies26269 Words   |  106 PagesManual on Module II Introduction to Hospitality By Authors Mr Murray Mackenzie School of Hotel Tourism Management The Hong Kong Polytechnic University and Dr Benny Chan Hong Kong Community College The Hong Kong Polytechnic University Consultant Mr Tony Tse School of Hotel Tourism Management The Hong Kong Polytechnic University Introduction to Hospitality Copyright  © The Government of the Hong Kong Special Administrative Region All rights reserved. The copyrightRead MorePurpose of Evaluating Customer Service Policies26276 Words   |  106 PagesManual on Module II Introduction to Hospitality By Authors Mr Murray Mackenzie School of Hotel Tourism Management The Hong Kong Polytechnic University and Dr Benny Chan Hong Kong Community College The Hong Kong Polytechnic University Consultant Mr Tony Tse School of Hotel Tourism Management The Hong Kong Polytechnic University Introduction to Hospitality Copyright  © The Government of the Hong Kong Special Administrative Region All rights reserved. The copyright of this manual belongsRead MoreHbr When Your Core Business Is Dying74686 Words   |  299 Pages ©2006 Chevron Corporation A l rights reserved APRIL 2007 Features 58 What Your Leader Expects of You Larry Bossidy A longtime CEO reveals the behaviors that leaders should look for in their subordinates – behaviors that drive individual as well as corporate performance and growth – and what those subordinates should expect in return. 58 66 Finding Your Next Core Business Chris Zook It may be hidden right under your nose. Here’s how to evaluate your current core and where to lookRead MoreManagement Course: Mba−10 General Management215330 Words   |  862 PagesManagement Course: MBA−10 General Management California College for Health Sciences MBA Program McGraw-Hill/Irwin abc McGraw−Hill Primis ISBN: 0−390−58539−4 Text: Effective Behavior in Organizations, Seventh Edition Cohen Harvard Business Review Finance Articles The Power of Management Capital Feigenbaum−Feigenbaum International Management, Sixth Edition Hodgetts−Luthans−Doh Contemporary Management, Fourth Edition Jones−George Driving Shareholder Value Morin−Jarrell Leadership

The Anatomy of a Decision Free Essays

At the end of John Updike’s short story, all the main characters were at odds with each other. AP grocery store clerk Sammy, who is the main protagonist of the story, Lengel the manager of the grocery store, and the three young bikini-clad ladies who caught Sammy’s attention, were all arguing over the dress code of the store. We will write a custom essay sample on The Anatomy of a Decision or any similar topic only for you Order Now The ladies in bikinis just came by to buy a herring snacks from the grocery, much to the delight of Sammy, who enjoyed observing and sexually fantasizing about the bodies of the three women. However, the ladies were reprimanded by Lengel for their inappropriate clothing which he deemed should only be worn in a beach. Seeing that the ladies of his interest were embarrassed, Sammy willingly resigns from his job in order to stand for what he feels is right. On a personal note, although his decision to quit his job as a store clerk in order to protect the ladies’ interests is notable, I do not agree with Sammy’s actions simply because it was immature and irrational. At the beginning of the story, Sammy fantasizes about the ladies, who enter the grocery store in bikinis, like any young boy would. He observes their clothing and bodies in a very detailed manner as if he wanted to remove them himself: â€Å"There was this chunky one, with a two-piece. It was bright green and the seams on the bra were still sharp and her belly was still pretty pale† (Updike, 1961). He also comes up with his own opinion of their personalities: â€Å"There was this one, with one of those chubby berry-faces, the lips all bunched together under her nose, this one, and tall one, with black hair that had not quite frizzed right†¦. You know their kind of girl other girls think very ‘Striking’ and ‘Attractive.’ She was the queen with ‘Long white prima-Donna legs’† (Updike, 1961). In short, his vivid descriptions of the three ladies no doubt show that he has a profound interest in them, which taints the moral justification of his decision to quit his job. Initially, it would appear that his resignation was mainly to protest the undue embarrassment that his boss, Lengel, caused the ladies. However, as shown in the end, Sammy’s move was primarily for the purpose of appearing as a hero to the three women. When he decided to quit his job, Sammy said, â€Å"The girls, and who’d blame them, are in a hurry to get out, so I say ‘I quit’ to Lengel quick enough for them to hear, hoping they’ll stop and watch me, their unsuspected hero.† Meaning to say, although he pointed out that he resigned in protest of his manager’s harsh actions towards the ladies, his actions were simply meant for show. Clearly, Sammy’s actions were signs of immaturity, which is arguably common among people his age. One does not simply quit a job in order to show off to women. His decision can be likened to a young boy desperately trying to impress a girl he likes, but fails in his attempt. He is a classic case of acting first without thinking and only realizing the folly of his actions after seeing the end result, which is expectedly not what he desires. Sammy obviously acted on impulse and as a result, the consequences were severe. As implied in the story, Sammy’s job as a clerk in the AP grocery store is very important to his parents, who possibly partially depend on his income. As Lengel said in his attempt to convince Sammy to reconsider his decision to quit, â€Å"Sammy, you don’t want to do this to your Mom and Dad† (Updike, 1961.). It can then be deduced that Sammy was not only working for himself but also helping his parents augment their family income. Meaning to say, Sammy’s decision to resign from his job possibly had a greater impact than what he imagined. And he realized this in the end, as he knew that his parents would not understand and accept that the reason behind his sacrifice to protest the actions of Lengel, whom he believes was very harsh towards the girls. Furthermore, despite his belief that what he did was heroic, Sammy cannot, in any way, be conceived as a hero in the context of the story simply because his efforts were fruitless. Although it can be argued that Sammy symbolizes a revolt against the prejudicial mentality epitomized by Lengel, in the end, the former still gained nothing out of his actions and therefore, cannot be considered as someone who fought for a justifiable cause. How to cite The Anatomy of a Decision, Papers

Book Analysis The Male Brain free essay sample

The Male Brain Similarly to Loan Breezinesss The Female Brain, Lethe Male Brain takes us through the changes throughout the lifetime of a male brain. It breaks down each stage of a males life and takes a look at the happenings of their brains from boyhood, through their teen years, into relationships and children, finally ending with the mature male brain. The Male Brain explains many of the biological reasons, along with the learned reasons behind many of the common traits and behaviors found in males.The focus of this analysis will be on how male brains differ from females, and whether that gives them n advantage or disadvantage in work settings. It will include how the early development of boys brains effects their traits and personalities, how men and women differ when it comes to emotions, and how all of these things contribute to the historical stereotype that men are better leaders than women. As Brazening explained, from a very early age boys are interested in completely different things than girls.Although I dont agree with her idea that boys are programmed to act a certain way, believe that part of their traits belongs to their biological hardwiring and the other are due to their ultra and upbringing. As it says in The Male Brain, at a young age boys are more likely to take risks and break rules. This relates directly with Eagle and Carols Through the Labyrinth when they state women presumably evolved a strong concern with their own personal safety as well as tendencies to be fearful and anxious and to avoid danger and risk. These statements translate very well into the stereotypical man when it comes to his career. While most of the time women are afraid to take risks, as it said in the TED talk Why We Have Too Few Women Leaders, men are willing risk takers which leads to egger paybacks, especially in their careers. Women are also more concerned with how other people feel and everyone getting along, however beginning when boys are around a year old they begin ignoring their own mothers facial expressions. At this age, the opposite happens in little girls.They read and react to the slightest look of disappointment or anger on their mothers face almost immediately. This could contribute to the fact that when men grow up they are more self-centered and concerned with their own career, while women are worried about how others feel. Referring again to the TED elk View We Have Too Few Women Leaders, they stated that men are more likely to take credit for their own achievements, while women give a lot of credit to those who helped and supported them. This is one of the traits that men have which give them more opportunities to be promoted and join higher ranks in the work force.Another point that Brazening made was that during their younger years, boys are obsessed with and imitate their dads, uncles, or any other male role models that could be considered alpha males. Believe that this obsession with alpha males could lead to the strong drive hat men have to become one, whether it is in the ir home or their workplace. Again, strength and aggression are mentioned a lot. In her book Brazening states, by age two, a boys brain is driving him to establish physical and social dominance. All these traits and behaviors either taught or wired into boys at such a young age, all contribute to their actions and behavior as they grow older and climb the ladders in their careers. The common issue of men accuse women of being too emotional and women accuse men of not being emotional enough is explained very well in the male brain. From personal experience, I have seen relationships not work out just because one person doesnt feel the other is listening, or one doesnt react the way the other was hoping for. After reading this book I realize that all of this due to the fact that men and women process emotions differently.When faced with a problem, a man doesnt respond emotionally, instead his brain looks for a way to solve it. I think Brazening says it best when she states The male brain is a lean, mean, problem-solving machine. Faced with a personal problem, a man will use his analytical brain structures to find a solution. This leads to others getting annoyed by male responses because they feel as if their emotions are not being acknowledged and instead are being given advice and direction that they didnt want to hear. As hurtful as this can be in personal situations, I feel like it could be proven helpful in professional work situations.As it says in Eagle and Carry, women usually respond in a manner that acknowledges others rights and their own rights, giving a more emotional response. Men also react to situations by hiding their emotions. If they are scared or nervous their instincts tell them to mask that ND not show those feelings in their facial expressions. They learn at a young age that acting cool and hiding their fears are the unwritten laws of masculinity. believe that the differences in how men and women react to emotions and how they use their emotions gives men another advantage in the work force.After comparing both The Female Brain and The Male Brain, it has changed my views a little bit about how men are natural leaders. I believe that in our society today men are better suited to handle leadership roles. The use of their aggression and self-preservation is the type of traits that get people far in their careers in our world today. It is more likely that doing whatever it takes is hardwired into a males brain than females. In The Male Brain it says Instinctive male-male competition and hierarchical fighting is driven by both hormones and brain circuits. I interpret this as men having it built into their brains that they need to be the best no matter what. I dont feel like women have the same instincts. Women are more worried about how others feel and their emotions. As it says in Eagle and Carry, Women emerge more often than men as the social facilitators. This means that they trivet to help people get along but dont usually hold much power themselves. I believe that women dont hold as many executive jobs as men because to climb to those roles in todays society require someone who looks out for themselves before others.Another aspect of men fitting the leadership role better is due to the fact that they dont react to emotions as women do. The fact that men try to come up with solutions to problems is ideal for todays work force. The fact that they can pull of an instinctive poker face could also help when it comes to making deals, making tough decisions, ND controlling their emotions. However, I do believe that there are some leadership roles that require more of a womans emotions and consideration.That being said, those leadership roles usually arent what we think of in our society when we think of powerful leaders. All in all, after the comparison of the male and female brain I do believe that males have quite a few biological and cultural traits that give them an advantage over women in the workforce. Its not that I dont believe that women cant be successful, I just believe in order for them to climb the ladder n their careers, especially the corporate one, they need to learn some of the traits that men are born with.Eagle and Carry put it perfectly when they say Changes in the psychology of women and men follow f rom changes in their roles. The early development Of the brains Of boys, the differences in response to emotions between men and women, and the natural leadership qualities that men possess have been giving them an advantage in the work force. However, I feel that as society changes, women will be able to adapt and make more progress and become just as successful in their careers.

Phrenology

Phrenology is a pseudoscience that evaluates one’s character by locating the bumps on the surface of the head. The inventors of this method found it efficient because there is no way a person can have bumps on the same spot.Advertising We will write a custom essay sample on Phrenology specifically for you for only $16.05 $11/page Learn More This idea was generated by a famous German physician called Franz Joseph Gall. He carried out studies on people in different locations and found out that when the bump was located in a specific position the individuals who had them had common personality traits. In phrenology the physicians locate a bump hence evaluate the distance between bumps in order to dictate the kind of behavior that is likely to be displayed by the person in question. Today most people don’t appreciate phrenology like before because they associate it with other arts such as palm reading. They don’t understand how people ca n gauge their behavior by observing their bumps (Bain, 2004). The studies done by Franz Joseph Gall suggest that the outside form of the skull reflect the actual form of the brain. He further found out that the other external parts of the body are interlinked with the brain. Phrenology was later integrated into other fields such as criminology because this concept could explain the character exhibited by a criminal. Wyhe (2004) explains that the physician would run his/her hand on the surface of the patient’s head to feel the bump(s). The bumps here don’t include scars that are found on the head because bumps are protrusions that are on the skull and can be used to define the form of the head.Advertising Looking for essay on psychology? Let's see if we can help you! Get your first paper with 15% OFF Learn More Franz stated that the brain was comprised of 27 seven organs and each of them represented different characters in human beings. However, 19 of thes e organs were shared by man and animals hence man was distinct due to the remaining eight organs. During the bump evaluation the actual dimension of the head was gauged. Due to the efficiency of this theory ancient employer begun to use it while selecting the best employees. Additionally, the technique was applied in relationships where partners employed it to evaluate their compatibility. Phrenology was later rejected as a pseudoscience because it resembled astrology in so many ways. Besides, the advancement in scientific studies proved the technique to be misleading. Franz did not take the criticism of his findings lightly because he had managed to make many people believe in his technique. In his studies the twenty seven organs of the brain had individual roles and the one that was felt by the touch of hand was the dominant character. Phrenology tends to be in conflict with science and Holy Scriptures and that’s why other philosophers rejected it because there is no eviden ce concerning its efficiency. Scientists argue that though several children may be fathered by one man or born by the same woman they exist as independent entities hence they have different behaviors which are influenced by their experiences and interests. Phrenology could be very wrong because you can not judge someone’s personality by their outward looks. There are many times when we have been misguided by the outward looks because they don’t reflect the behavior portrayed by the individual.Advertising We will write a custom essay sample on Phrenology specifically for you for only $16.05 $11/page Learn More Some people feel that behavior is hereditary such that the children tend to follow the footsteps of their parents. But they don’t actually imitate both parents because the child follows the footpath that is dominant that is the father’s or the mother’s behavior (Gregory, 2004). In addition to that, there are those who view character as being repetitive in sequential generations. This means that the characters that were present among our forefathers will continue to exist in successive generations. That’s why parents are amazed by the behavior exhibited by their children because neither of them possesses such personality. However, there are other advanced techniques that have been developed to evaluate people’s behavior such as when they are lying. Most of these techniques are used in criminology to determine whether a suspect is guilty or innocent. References Bain, Alexander. (2004). On the Study of Character Including an Estimate of Phrenology, New York: Kessinger Publishing. Gregory, R.J. (2004). Psychological Testing: History, Principles, and Applications. 4th Ed. Upper Saddle River, NJ: Pearson Education, Inc. Wyhe V. J. (2004). Phrenology and the Origins of Victorian Scientific Naturalism. Burlington, VT: Ashgate Publishing.Advertising Looking for essay on psychology? Let's see if we can help you! Get your first paper with 15% OFF Learn More This essay on Phrenology was written and submitted by user Trevor Frye to help you with your own studies. You are free to use it for research and reference purposes in order to write your own paper; however, you must cite it accordingly. You can donate your paper here.

How the Nervous System works and How Drugs Affect It essays

How the Nervous System works and How Drugs Affect It essays The nervous system is the control system and the network of communication for the body. All of our thoughts, and behavior can be traced to the activity of a neuron. A typical neuron has three important parts: first a cell body, second dendrites and last an axon. All three parts are important for our daily functions. Drugs however such as cocaine can alter these actions and have short and long term effects that arent always the best feeling. . The nervous system is made up of nerves, the spinal cord and the brain. The nerves control everything we do; they carry messages that tell us to move, to breathe, to feel and to think. Nerves run to the muscles, organs, heart, lungs, blood vessels, brain-even to our teeth and skin. Neurons are the specialized cells that conduct impulses through the nervous system. There are about 100 billion neurons in just the brain. A neuron has three parts that make it up, a cell body, which carries metabolic functions, dendrites being branched fibers which are the primary receivers of the impulses from other neurons, and axons that are slender tail like extensions that are the transmitting end that sprouts into many braches each ending in an axon terminal. Axon terminals are what transmits signals to the dendrites or cell bodies of other neurons, muscles, glands and so forth. Amazingly the billions of neurons are not physically connected. The way the neurons communicate is possible because of the synapse. The synapse is where the axon of a sending neuron joins the receiving neuron across the synaptic cleft. All neurons travel by being fired by biological electricity, because the body has ions that have positive and negative charges. Neurons that are negative charged are not firing which is called resting potential. When the reversal of resting potential occurs the neuron fires, this is called action potential. The action potential operates according to the all or ...

Exam questions Essay Example | Topics and Well Written Essays - 750 words

Exam questions - Essay Example Futures contracts can be transferred between parties. Futures have advantages similar to those mentioned for forwards. Currency Options involves a contract for a fee (premium + commission), sold by one party to another that provides the buyer the right, although not the obligation, to purchase or sell a specified amount of a single currency for a given amount in another at an agreed-on price within a given period of time or on an exact date. Its advantage is that it protect against downside risk in addition to allowing upside appreciation. Currency Swaps on the other hand is an agreement by two corporations to exchange specified amounts of currency currently and to reverse the exchange at a given point in the future. A currency swap might not incorporate an initial exchange, in which instance it would incorporate one or multiple payments during the swap’s life in addition to a final exchange. This option helps in minimizing the costs of foreign conversion while client is secur ed against exchange rate risk. Additionally, it costs nothing to enter into a swap. Back-to-Back Loans is a form of loan where two corporations in different nations borrow offsetting amounts in individual’s currency. The aim of this transaction is to hedge against fluctuations in the currencies. It key benefit is that it allows one to gain from approved spot limits. A Non-deliverable forward contract is a form of agreement between parties where one (an individual) is protected against undesirable rates in foreign exchange. Generally, it is a cash settled transaction and as such there are no real exchange of currencies at maturity. Essentially, a net payment is made by one of the parties to the other on basis of the contracted rate alongside the market rate at the day of settlement. It effectively involves hedging of expected foreign currency cash flows. Simply put, a contract rate is agreed up-front, alongside the fixing rate (and the corresponding fixing date). The contract rate is made use of in calculation of the amount payable on the nominated date of maturity. It is important to mention that an NDF may is useful in management of currency risks related to exportation and importation of goods, foreign currency purchase, conversion of foreign currency denominated dividends, or in settlement of other foreign currency contractual agreements. It is more particularly useful in instances where physical exchange is not necessary on the maturity date or in instances where a foreign central bank puts some limit to offshore access to its local cash niche. It should be put into use in instances where one has a genuine commercial necessity to manage currency risks linked to a particular pair of currency. Q2: The strike price of an equity option in popular plc is 380p and the premium was 24p per share. The current market price of a share in the company is 410p. The exercise date is still over one month away. Calculate the profit or loss on one contract to date fo r: A long call A long put A short call A short put If the market price of shares in popular rose explains how, and why, the premium would alter as a result for: i) a long call The profit made by the trader will increase. This is due to the fact

Market gorvenment analysis Article Example | Topics and Well Written Essays - 750 words

Market gorvenment analysis - Article Example Additionally, they should look forward to promote confidence and integrity in public administration. They must avoid any situations where their private interests and public interest conflict and those that are seen as a potential conflict in fulfillment of their duties and responsibilities. In instances where conflicts between public and private interests conflict cannot be avoided they must be well disclosed and managed. This essay discusses some of the philosophical views on the conflict between private interest and public interest. This framework can be simply summed up. Buyers attempts to capitalize on their gains from goods and services that are commonly referred to as maximizing utility. Similarly, individuals look forward to offer labor to companies that wish to employ them by balancing the gains they are getting from offering their services (wages) with the disutility linked with the labor itself (loss of leisure time). People make choices at the margin and this leads to the theory of demands for goods and services and supply of factors of production. On the other hand, producers make an effort to produce products such that the cost of producing the incremental unit is equal to the revenue it gains (Heilbruner, 1999). In this way, producers act in a way that maximizes profits. The neoclassical perspective therefore involves agents be it individuals, households or firms and all of them are subject to conditions. Adam Smith was the major contributor to the neoliberal perspective and his works sought to address the motivation behind economic activity, policies that should be followed by states to increase their wealth and the mechanism behind price increases and distribution of wealth. He stated that so long as the forces of demand, supply, competition and prices should be left free of government intervention. This perspective gives emphasis to pursuing

Language, Acquisition, and Teaching Essay Example | Topics and Well Written Essays - 3750 words

Language, Acquisition, and Teaching - Essay Example This highlights the lively discourse pertinent to the process of language acquisition, specifically, when dealing with the issue of first language acquisition vis-a-vis second language acquisition. In this context, this research will delve on two significant issues, namely, â€Å"How far can the process of first language acquisition be taken as a model for the acquisition of a second language? What are the implications for the second language teachers?† For purposes of limitation and clarification, for this study the term â€Å"first language† pertains to the native language of a person, which has been acquired without undergoing formal learning processes to acquire the language, since it is the mother tongue of the person. It is the language the child learns from his/her parents, family, relatives, and from others (Yaz?c?, Ilter, and Glover, 2010). On the other hand, second language is another language acquired by the person, aside from her mother tongue. Second langua ge is a language learnt after the first language and it is often contrasted with ‘foreign’ in terms of function and location (Cook 2006; 2008). For example, a four-year-old Indonesian child who speaks Bahasa Indonesia at home, while the child’s family reside in Netherlands, and therefore she studies Dutch. As such, the child is acquiring SL. On the other hand, a four-year-old Indonesian child whose family resides in Indonesia, speaks Bahasa Indonesia, studies Bahasa Indonesia in school; is therefore developing FLA alone. This distinction serves as a guide in understanding these two terms as it is used in the entire research. The paper recognises the broadness of the offered connotations of first language and second language. Nonetheless, what is essential is that through the minimal distinction provided between the two concepts, a parameter is set, thus, enabling the possibility of distinction between FLA and SLA. In addition, the paper also defines language acqu isition as the subconscious process of developing language ability and that it is fostered in a non-threatening environment (Krashen, 1981). On the other hand, language learning is also a process of developing language ability, however, it occurs in academic setting and there is a conscious effort in knowing the syntax and semantics of a particular language (Krashen 1981). From this perspective, the paper asserts that aside from chronology and contrast with the term ‘foreign’, second language acquisition (SLA) is a process wherein the person as a student in an academic setting learns another language. It is a conscious endeavour to acquire a second language aside from one’s mother tongue. In this regard, the necessity of a shared framework between first language acquisition (FLA) and second language acquisition (SLA) becomes feasible as it offers the paradigm in which FLA becomes the initial framework in which sense and meaning of the second language is apprehend ed. In this regard, second language teachers are challenged to recognise not only the academic, language, and cognitive development of the learner, but they also have to learn to factor the socio-economic and cultural processes and other affective factors that influence the person as she goes though SLA.

Globalization: The Homogenization Of Cultures

Globalization: The Homogenization Of Cultures The increased integration of humanity beyond the national borders is compressing the world into an interdependent global village. Today, many equate the process of globalization with the promotion of interests of the West, whose hegemony is propagated through the idea of liberalism. As a result of the Western superior power and cultural imperialism, the so-called Third World countries feel compelled to admit their superiority and subsequently to acculturate themselves, accepting the Western way of life as a norm. The greatest consequence of this is homogenization of cultures and the loss of identity in the process of implementing Western ideologies. Today, the world we live in is taking part in the process of an increased integration through the movement of people and goods. The growing development of communication makes the unification of the entire globe seem as something completely natural. Globalization of our societies and every day lives à ¢Ã¢â€š ¬Ã‚ ¦ However, the question that is being imposed upon us is whether this compression of the world into one global society means that the world is being enriched and unified, or will it be torn apart by nations self-interest conflicts in the battle for preservation of their identities? The wide variety and diversity of our cultures and identities has always been, without a doubt, a part of who we are. Societies and cultures learn how to grow and prosper through overlapping and borrowing from each other. Some would argue that cultures should not be perceived as individual, but that they need to be examined in a more general way, since they constantly change and evolve. Cultures stopped being related to a mere geographical area and its society; nowadays, they are linked to the contemporary time that they exist in, as well as to the entire globe. Thanks to the process of globalization, today we have unique emerging cultures, such as Internet culture, artists culture, culture of the young people from around the world and others that are becoming a part of a universal set of values and ideas, turning the world into one global culture. However, while this unification of cultures has its benefits, at the same time it brings along the risk of an intercultural and identity-related conflict. For some people, their culture is everything that makes them who they are, it is an essential part of their identity. For example, in a case of a possible dispute between cultures that have confronting views and prejudice against each other, their people will hold on strongly to their national identity and culture, because they feel intimately related to it and see it as their protection. In an effort to preserve ones culture, language or religion, people very often become involved in conflicts. Most importantly, these conflicts becomes aggravated by the consuming influence of biased media Furthermore, as a result of negative stereotypes, different cultures may view each other as alien and threatening and can lead to a clash of civilizations, as Huntington refers to it.FOOTNOTE NEEDED Additionally, an increased interaction between cultures can lead to the creation of a unified culture imposed by the more influencing and dominating one. Therefore, this would lead to the homogenization of the world. This brings around cultural imperialism as an inherent part, as well as a product of the overall process of imperialism, where one country with dominant economy, culture and policy has control over others. This causes the local cultures, especially those in the so-called Third World countries, to be exploited and challenged by the dominant, most often Western values. Unsurprisingly, this comes as an effect of many centuries during which West had the chance to establish its dominance in the world. Cultural imperialism occurs when one culture is presented in such a manner that is seems undeveloped and non-modern when compared to another. Accordingly, the dominant cultures standards and norms become gradually accepted by the locals who believe in its superiority. This is why some intellectuals equate globalization with the Western imperialism; they argue that the West is imposing its ideas of liberalism onto the rest of the world through the process of globalization and therefore ensuring and reaffirming its hegemony. Instead of physically colonizing the rest of the world, the West has chosen more subtle means of propagating its ideas. The spread of Western, namely American goods around the world is not a simple coincidence- it is a part of the process of cultural imperialism. In addition, instead of being a simple trend of consumerism of American products, cultural imperialism implies the implementation of American ideas such as freedom of speech and democracy. As a result, this process leads to the steady disperse of unique cultures across the globe as t hey succumb to the influence of the more powerful American culture. So, whats in it for the West and America and whats their real motive? Many people believe that the main reason is the protection of the unlimited access to foreign markets, along with an actual and concrete belief in the American superiority by their citizens. However, it is simple to convince the Americans of their own superiority, but when convincing foreign cultures, they have to be more assertive and creative. Thus, marketing, along with advertising, plays an extremely important role in the process of Americanization. Its importance lies in the fact that it has the ability to persuade others in the modernity and the advanced stage of development of those American goods. Consequently, they begin to dominate local markets, doing no good to the local economy; hence, the local production industry weakens and gives way to the American economic interests. Another way of influencing local cultures and identities is through the vehicle of Internet. It plays a huge role in propagating the American culture, and enables it to be extremely exposed to the entire globe. However, the users of Internet that wish not to be exposed to the influence of American propagating contents can easily avoid it, since they are the active players in the seek of information online. Nevertheless, those who choose to be exposed to it, Internet can severely increase it. Governments are aware of this, and some of them, like the Chinese and Cuban, have restricted their citizens from the free flow of information, in order to prevent the Western influence. Oxymoronically, by restricting them, their governments are reassuring the fact that their citizens will not be the providers, but mere recipients of the Internet information flow. On the other hand, there is a substantial number of scholars who believe that the process of Americanizing the world is, as a matter of fact, a good thing for the entire world. They argue that through globalization, people become aware of the importance of strengthening their identity so they work on its preservation. In contrast to that, cultural imperialism can also lead to the establishment of a homogenized global identity that would help bring the world together. Accordingly, it would have a positive effect, hence the world will be more secure and stable through the elimination of the diverse and conflicting cultures. The Americans are already on the way to establish a single world society with minimum or no cultural restraints. However, the question being imposed on us is whether the uncertain assurance of a world peace is enough to justify the gradual disappearance of the numerous local cultures. Even though indigenous cultures are aware of the growing impact of American cultur al imperialism, there is not much they can do to stop it, since they are not strong enough to compete. They could try to limit the access to information, but that would contradict with the basic human rights which guarantee that everyone is able to attain free and unlimited knowledge and information through any means of media. Theoretically speaking, every nation, religion, race and ethnic group are equal, as long as they fulfill the needs of their people. Unfortunately, having superior and inferior, dominant and subordinate cultures, equality among them seem to be impossible. However, domination is nothing new- it has always existed throughout the history of the world, especially during colonization when Western powers believed they need to civilize the indigenous nations, while they were in fact exploiting them. The need for a cultural dialogue : When it comes to globalization and the issue of cultural imperialism, there seem to be two opposing views: some believe that the interaction and unification of cultures will lead to a clash of civilizations, while others claim it will bring around the greatly needed dialogue and cooperation. The global culture of today is, without a doubt, being shaped by the West. Nevertheless, it can and must be challenged by those that are being influenced by it, who should not just adopt their norms, but adapt and shape them so they fit the framework of their own culture and values. In addition, the fact that it is not just one culture influencing the other should not be overlooked; it is actually a process of mutual interaction and impact. Despite the fact that it is one of the modern worlds greatest challenges, intercultural dialogue is probably the best solution to counter cultural conflicts and crisis. Instead of simply succumbing to the influence, or doing the opposite- refraining and prohibiting the goods, people and world organizations should try appealing to the American governments to pass laws to restrain their companies from selling goods that endanger the survival of local market, and those companies should be prohibited from doing business. America must be fair and admit that perhaps what is good for its own economy, might not be good for the rest of the world and that the rights of people should be put before the need to make profit.

Affirmation of Adulthood in John Updikes A&P Essay -- A&P Essays

Affirmation of Adulthood in Updike’s A&P  Ã‚     Ã‚  Ã‚   Researching John Updike’s story, "A&P", I found many readers agreed that the main character Sammy is viewed as a hero or martyr for quitting his job at an A&P store in a northern beach town. I did, however, find that critics disagreed on why Sammy quit. Initially it appears that Sammy quits his job to impress girls who were reprimanded for wearing bathing suits in the A&P.   Sammy did not ultimately quit his job to be the hero for three girls who happened to walk into this A&P. This is not just a story about a nineteen-year-old guy trying to impress a group of girls by quitting his job, but it is also a story describing in detail the day this nineteen-year-old realizes that sometimes, in the transition from boyhood to adulthood, one must take a stand and ultimately follow through with this affirmation of adulthood. From the beginning of the story Updike "uses Sammy’s youth and unromantic descriptive powers" to show his immaturity and apparent boyish nature (Uphaus 373). We see this in the opening line of the story: "In walks three girls in nothing but bathing suits" (Updike 1026). Even the voice of Sammy is very "familiar and colloquial" (Uphaus 373). Much of the information that Sammy relays about the three girls is sexually descriptive in a nineteen-year-old boy’s way: "and a sweet broad looking can [rear] with those two crescents of white under it, where the sun never seems to hit" (Updike 1026). It is apparent that Sammy looks at the three girls who happen to walk into the A&P only as objects of lust or possibly boyish desire. Thus, on the surface it is easy to take this story as that of a boy who would do something like quit his job to "impress" these girls. It is even ... ...omach kind of fell as I felt how hard the world was going to be to me hereafter" (Updike 1030). This was the day that Sammy grew up. Works Cited Greiner, Donald J. Short Story Criticism. Vol. 13 Detroit: Gale Research Inc., 1991. 398-399. Updike, John. "A&P." The Harper Anthology of Fiction. Ed. Sylvan Barnet. New York: HarperCollins, 1991.1026-1030. Uphaus, Suzanne Henning. Short Story Criticism. Vol. 13 Detroit: Gale Research Inc., 1991. 372-373. Works Consulted Coffman, Kelly. "A Turning Point." Ode To Friendship & Other Essays. Ed. Connie Bellamy. Virginia Beach, 1997. 190-191. Hatcher, Nathan. "Sammy’s Motive." Ode To Friendship . Ed. Connie Bellamy. Virginia Beach 1997. 188-189. Luscher, Robert M. John Updike: A Study of the Short Fiction. New York: Twayne, 1993. Uphaus, Suzanne. John Updike. N Y: Frederick Ungar, 1986.   

Sample Questions

Chapter-1 MANAGERIAL ECONOMICS Multiple Choice Questions 1 Which of the following is a characteristic of a perfectly competitive market? a. Firms are price setters. b. There are few sellers in the market. c. Firms can exit and enter the market freely. d. All of these 2 If a perfectly competitive firm currently produces where price is greater than marginal cost it a. will increase its profits by producing more. b. will increase its profits by producing less. c. is making positive economic profits. d. is making negative economic profits. 3 When a perfectly competitive firm makes a decision to shut down, it is most likely that a.Price is below the minimum of average variable cost. b. Fixed costs exceed variable costs. c. Average fixed costs are rising. d. Marginal cost is above average variable cost. 4 In the long run, a profit-maximizing firm will choose to exit a market when a. Fixed costs exceed sunk costs. b. Average fixed cost is rising. c. Revenue from production is less than tota l costs. d. marginal cost exceeds marginal revenue at the current level of production. 5 When firms have an incentive to exit a competitive market, their exit will a. Drive down market prices. b. Drive down profits of existing firms in the market. . Decrease the quantity of goods supplied in the market. d. All of the above are correct. 6 In a perfectly competitive market, the process of entry or exit ends when a. Firms are operating with excess capacity. b. Firms are making zero economic profit. c. Firms experience decreasing marginal revenue. d. Price is equal to marginal cost. 7 Equilibrium quantities in markets characterized by oligopoly is a. Lower than in monopoly markets and higher than in perfectly competitive markets. b. Lower than in monopoly markets and lower than in perfectly competitive markets.Higher than in monopoly markets and higher than in perfectly competitive markets. d. Higher than in monopoly markets and lower than in perfectly competitive markets. 8 In economic s the central problem is: a. b. c. d. e. Allocation. Consumption. Scarcity. Money. Production. c. 9 Indicate below what is NOT a factor of production. a. Land. b. A bank loan. c. Labor. d. Capital. 10 Macroeconomics deals with: a. The behavior of firms. b. Economic aggregates. c. The activities of individual units. d. The behavior of the electronics industry. 11 Microeconomics is not concerned with the behavior of: a. Aggregate demand. . Consumers. c. Industries. d. Firms. 12 The study of inflation is part of: a. Normative economics. b. Macroeconomics. c. Microeconomics. d. Descriptive economics. 13 Aggregate supplies is the total amount: a. Produced by the government. b. Of products produced by a given industry. c. Of labor supplied by all households. d. Of goods and services produced in an economy. 14 The total demand for goods and services in an economy is known as: a. National demand. b. Economy-wide demand. c. Gross national product. d. Aggregate demand. 15 If marginal benefit is greater than marginal cost, a rational choice involves: a.More of the activity. b. Less of the activity. c. No more of the activity. d. More or less, depending on the benefits of other activities. 16 A student chooses to study because the marginal benefit is greater than the ________ cost. a. average b. total c. marginal d. expected 17 Periods of less than full employment correspond to: a. b. c. d. Points outside the production possibility curve. Points inside the production possibility curve. Points on the production possibility curve. Either points inside or outside the production possibility curve. 18 The circular flow of goods and incomes shows the relationship between: a.Income and money. b. Wages and salaries. c. Goods and services. d. Firms and households. 19 In a free market system, the amount of goods and services that any one household gets depends upon its: a. Income. b. Wage and interest income. c. Wealth. d. Income and wealth. 20 In a planned or command economy, all the economic decisions are taken by the: a. Consumers. b. Workers. c. Government. d. Voters. Answers for Multiple Choice Questions 1 (c) 2 (a) 3 (a) 6 (b) 7 (d) 8 (c) 11(a) 12(b) 13(d) 16(c) 17(b) 18(d) 4 (c) 9 (b) 14(d) 19(d) 5 (c) 10 (b) 15(a) 20(c) Chapter-2 PRINCIPLES OF MANAGERIAL ECONOMICSMultiple Choice Questions 1 The word that comes from the Greek word for â€Å"one who manages a household is a. Market. b. Consumer. c. Producer. d. Economy. 2 Economics deals primarily with the concept of a. Scarcity. b. Poverty. c. Change. d. Power. 3 Which of the following is NOT included in the decisions that every society must make? a. what goods will be produced b. who will produce goods c. what determines consumer preferences d. who will consume the goods 4 In a market economy, characterized by Capitalism, there is full interference by the State in the economic activities of consumers and producers. a)True (b) False 5 In a market system of economy, there is no harmony between individu al interests and interests of the community. (a)True (b) False 6 Efficiency is the relation between returns and cost. (a)True (b) False 7 The subject matter of macro –economic includes the theory of income and employment at an individual level. (a)True (b) False 8 Rational decision results in†¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦for the employees. a. Division of work. b. Centralization. c. Discipline. d. Motivation 9 A Theory Y approach is more suitable where a job offers: a. a high degree of intrinsic satisfaction. b.The ability to exercise initiative. c. An element of problem solving. d. All of the above. 10 Breech identifies four main elements of management. They are planning, control, coordination and: a. The division of work. b. Centralization. c. Discipline. d. Motivation. 11 Many well-known business economists participate in public debates. (a)True (b) False 12 Marginal Utility is the utility derived from the additional unit of a commodity consumed. (a)True (b) False 13 Compared to the static model, the fishing effort in a dynamic model is likely to be a. Larger. b. Smaller. c. Similar. . Larger or smaller. 14 Land, labor, and money are the three categories of economic resources. (a)True (b) False 15 Which of the following is not an interest rate derivative used for interest rate management? Interest rate guarantee a. Floor b. Swap c. Cap d. All of the above are interest rate derivatives 16 An agreement which guarantees an investor a minimum return on a principal amount is called a: a. Cap b. Executive stock option c. Stock option d. Floor 17 Which of the factors listed below is not a reason for decision making in organizations being a complex process? a.Modern information systems enable people to evaluate a range of possible outcomes b. Factors in the current context of the organization affect the decision c. Several stakeholders will have an interest in the decision d. People have to make decisions in a historical context 18 The overall process of decisi on making in, for example, staff selection includes which of these stages? a. Deciding which candidate to appoint b. Identifying the need for a new member of staff c. Agreeing the job specification d. All of the above 19 A manager who is helping a customer return some shoes they purchased last week is dealing with what type of decision? . Uncertainty b. Non-programmed decision c. Bounded rationality d. Programmed decision 20 Decision making situations can be categorized along a scale which ranges from: a. Uncertainty to certainty to risk b. Certainty to uncertainty to risk c. Certainty to risk to uncertainty d. Certainty to risk to uncertainty to ambiguity Answers for Multiple Choice Questions 1 (d) 2 (a) 3 (c) 6 (a) 7 (b) 8 (d) 11(a) 12(a) 13(a) 16(d) 17(a) 18(d) 4 (b) 9 (d) 14(b) 19(d) 5 (b) 10 (d) 15(d) 20(d) Chapter-3 CONCEPT OF DEMAND Multiple Choice Questions 1 The quantity demanded of Pepsi has decreased.The best explanation for this is that: a. The price of Pepsi increased. b. Pepsi consumers had an increase in income. c. Pepsi's advertising is not as effective as in the past. d. The price of Coca Cola has increased. 2 Demand curves are derived while holding constant: a. Income, tastes, and the price of other goods. b. Tastes and the price of other goods. c. Income and tastes. d. Income, tastes, and the price of the good. 3 When the decrease in the price of one good causes the demand for another good to decrease, the goods are: a. Normal b. Inferior c. Substitutes d.Complements 4 Suppose the demand for good Z goes up when the price of good Y goes down. We can say that goods Z and Y are: a. Substitutes. b. Complements. c. Unrelated goods. d. Perfect substitutes. 5 If the demand for coffee decreases as income decreases, coffee is: a. An inferior good. b. A normal good. c. A complementary good. d. A substitute good. 6 Which of the following will NOT cause a shift in the demand curve for compact discs? a. A change in the price of pre-recorded cassette tape s. b. A change in income. c. A change in the price of compact discs. d. A change in wealth. When excess demand occurs in an unregulated market, there is a tendency for: a. Quantity supplied to decrease. b. Quantity demanded to increase. c. Price to rise. d. Price to fall. 8 Market equilibrium exists when _____________ at the prevailing price. a. b. c. d. quantity demanded is less than quantity supplied quantity supplied is greater than quantity demanded quantity demanded equals quantity supplied quantity demanded is greater than quantity supplied 9 A movement along the demand curve to the left may be caused by: a. A decrease in supply. b. A rise in the price of inputs. c.A fall in the number of substitute goods. d. A rise in income. 10 The quantity demanded of a product rises whenever (a) The product’s price falls. (b) Incomes increase. (c) Population increases. (d) The prices of substitute goods rise. (e) Consumer tastes and preferences change. 11 The equilibrium quantity mu st fall when (a) There is a decrease in demand. (b) There is a decrease in supply. (c) There is an increase in price. (d) There is an increase in demand and supply. (e) There is a decrease in demand and supply 12 The demand curve will shift to the left for most consumer goods when (a) Incomes decrease. b) The prices of substitutes fall. (c) The prices of complements increase (d) All of the above. 13 Producer goods, also called intermediate goods, in economics, goods manufactured and used in further manufacturing, processing, or resale. (a)True (b) False 14 Consumer goods are alternately called final goods, and the second term makes more sense in understanding the concept. (a)True (b) False 15 GDP stands for a. Gross Domestic Product b. Gross Deistic Product c. Gross dynamic product d. All of these 16 GNP stands for a. Gross national product b. Gross natural product c. Both (a)and (b) d.None of these 17 When the demand for a product is tied to the purchase of some parent product, its demand is called induced or derived. (a)True (b) False 18 An industry is the aggregate of firms (a)True (b) False 19 The ‘law of demand' implies that: a. As prices fall, quantity demanded increases. b. As prices rise, quantity demanded increases. c. As prices fall, demand increases. d. As prices rise, demand decreases. 20 When the market operates without interference, price increases will distribute what is available to those who are willing and able to pay the most. This process is known as: a. Price rationing. . Price fixing. c. Quantity adjustment. d. Quantity setting Answers for Self Assessment Questions 1 (a) 2 (d) 3 (c) 6 (c) 7 (c) 8 (c) 11(d) 12(d) 13(a) 16(a) 17(a) 18(a) 4 (b) 9 (a) 14(a) 19(a) 5 (b) 10 (a) 15(a) 20(a) Chapter-4 DETERMINATION OF DEMAND 1 The demand for a product or a service depends on a host of factors. (a)True (b) False 2 Demand curves may also be shifted by changes in expectations. (a)True (b) False 3 Quantity demand is a specific quantity that buy ers are willing and able to buy at a specific demand price. (a)True (b) False 4 If the price of a complement increases, all else equal, a.Quantity demanded will increase. b. Quantity supplied will increase. c. Demand will increase. d. Demand will decrease. 5 Which of the following would lead to an INCREASE in the demand for golf balls? a. An decrease in the price of golf balls. b. An increase in the price of golf clubs. c. A decrease in the cost of producing golf balls. d. An increase in average household income when golf balls are a normal good. 6 If input prices increase, all else equal, a. Quantity supplied will decrease. b. Supply will increase. c. Supply will decrease. d. Demand will decrease. 7 Which of the following would decrease the supply of wheat? . A decrease in the price of pesticides. b. An increase in the demand for wheat. c. A rise in the price of wheat. d. An increase in the price of corn. 8 When Sonoma Vineyards increases the price of its Chardonnay from $15 per bo ttle to $20 per bottle, the result is a decrease in†¦ a. The quantity of this wine demanded. b. The quantity of this wine supplied. c. The demand for this wine. d. The supply of this wine. 9 Which of the following will cause a change in quantity supplied? a. Technological change. b. A change in input prices. c. A change in the market price of the good. d. A change in the number of firms in the market. 0 In which of the following cases will the effect on equilibrium output be indeterminate (i. e. , depend on the magnitudes of the shifts in supply and demand)? a. Demand decreases and supply decreases. b. Demand remains constant and supply increases. c. Demand decreases and supply increases. d. Demand increases and supply increases. 11 An increase in the number of firms selling pizza will cause, ceteris paribus, (a) an increase in supply. (b) an increase in demand. (c) a decrease in quantity demanded. (d) a decrease in the quantity supplied. 12 A change in demand is a change in th e ENTIRE demand relation. a)True (b) False 13 The demand for a given product will rise if: a. Incomes rise for a normal good or fall for an inferior good b. The price of a complement falls c. The price of a substitute rises d. All of these 14 Two explanations for the law of demand are (a) Price and quantity effects. (b) Substitution and income effects. (c) Opportunity cost and substitution effects. (d) Substitutes and inferior goods. (e) None of the above. 15 An increase in demand, ceteris paribus, will usually cause (a) A decrease in quantity demanded. (b) an increase in quantity supplied. (c) an increase in supply. d) a higher quantity and a lower price. 16. The quantity demanded of a product rises whenever (a) the product’s price falls. (b) incomes increase. (c) population increases. (d) the prices of substitute goods rise 17 The demand curve is downward-sloping because at a higher price for a good (ceteris paribus) (a) people buy fewer substitutes. (b) people buy more com plements. (c) people search for substitutes. (d) income rises. (e) substitutes become complements. 18 The supply curve is upward-sloping because at higher prices for a good (a) consumers search out more substitutes. (b) consumer income increases. c) demand is lower. (d) None of the above. 19 If the factors held constant along a supply or demand curve change, (a) the equilibrium may change. (b) the demand and supply equilibrium may be disrupted. (c) the supply or demand curve may shift. (d) All of the above. 20 If the price of crackers goes up when the price of cheese goes down, crackers and cheese are (a) inferior goods. (b) substitutes. (c) both substitutes and complements. (d) complements Answers for Self Assessment Questions 1 (a) 2 (a) 3 (a) 6 (c) 7 (d) 8 (a) 11(a) 12(a) 13(d) 16(a) 17(c) 18(d) 4 (d) 9 (c) 14(b) 19(a) 5 (d) 10 (c) 15(b) 20(d)Chapter-5 PRICE ELASTICITY OF DEMAND 1 If the price elasticity of demand for a good is . 75, the demand for the good can be described as: a . normal b. elastic c. inferior d. inelastic. 2. When the price of a product is increased 10 percent, the quantity demanded decreases 15 percent. In this range of prices, demand for this product is: a. elastic b. inelastic c. cross-elastic. d. unitary elastic. 3. If the price elasticity of demand for a product is equal to 0. 5, then a 10 percent decrease in price will: a. increase quantity demanded by 5 percent. b. increase quantity demanded by 0. percent. c. decrease quantity demanded by 5 percent. d. decrease quantity demanded by 0. 5 percent. 4 If an increase in the supply of a product results in a decrease in the price, but no change in the actual quantity of the product exchanged, then: a. the price elasticity of supply is zero. b. the price elasticity of supply is infinite. c. the price elasticity of demand is unitary. d. the price elasticity of demand is zero. 5. If 100 units of product K are sold at a unit price of $10 and 75 units of product K are sold at a unit price of $1 5, one can conclude that in this price range: a. emand for product K is elastic. b. demand for product K is inelastic. c. demand for product K has shifted to the right. d. consumers are sensitive to price changes of product K. 6 Total revenue falls as the price of a good increases if price ela sticity of demand is: a. elastic. b. inelastic c. unitary elastic d. perfectly elastic. 7 The demand for Cheerios cereal is more price-elastic than the demand for cereals as a whole. This is best explained by the fact that: a. Cheerios are a luxury. b. cereals are a necessity. c. there are more substitutes for Cheerios than for cereals as a whole. d. onsumption of cereals as a whole is greater than consumption of Cheerios. 8 What is the most likely effect of the development of television, videocassette players, and rental movies on the movie theater industry? a. b. c. d. decreased costs of producing movies increased demand for movie theater tickets movie theater tickets become an inferior good increased price elasticity of demand for movie theater tickets 9 The price elasticity of demand will increase with the length of the period to which the demand curve pertains because: a. consumers' incomes will increase. b. the demand curve will shift outward. . all prices will increase over time. d. consumers will be better able to find substitutes. 10. A state government wants to increase the taxes on cigarettes to increase tax revenue. (a)True (b) False 11 This tax would only be effective in raising new tax revenues if the price elasticity of demand is: a. unity b. elastic c. inelastic d. perfectly elastic. 12. Sony is considering a 10 percent price reduction on its color television sets. If the demand for sets in this price range is inelastic: A) revenues from color sets will remain constant. B) revenues derived from color sets will decrease.C) revenues derived from color sets will increase. D) the number of television sets sold will decrease 13 Elasticity of demand for a commo dity with respect to change in its price. (a)True (b) False 14 An elasticity alternative in which infinitesimally small changes in price cause infinitely large changes in quantity. (a)True (b) False 15 Three factors that affect the numerical value of the price elasticity of demand are the a. b. c. d. availability of substitutes time period of analysis proportion of budget All of these 16 The price elasticity of demand is one of four common elasticity’s used in the analysis of the market. a)True (b) False 17 Cross elasticity of demand is: a. negative for complementary goods b. unitary for inferior goods. c. negative for substitute goods d. positive for inferior goods. 18. A positive cross elasticity of demand coefficient indicates that: a. a product is an inferior good. b. a product is a normal good. c. two products are substitute goods. d. two products are complementary goods. 19 A market without legal prices is in equilibrium when: a. quantity demanded equals price. b. the d emand curve remains constant. c. quantity demanded equals quantity supplied. d. uantity demanded is greater than quantity supplied. 20 A relatively small change, say 1% on an INR 100,000 house, can make a BIG difference in the buyer’s decision to buy. (a)True (b) False Answers for Self Assessment Questions 1 (d) 2 (a) 3 (a) 4 (d) 5 (a) 6 (a) 7 (c) 8 (d) 9 (d) 10 (a) 11(d) 12(c) 13(a) 14(a) 15(d) 16(a) 17(a) 18(c) 19(c) 20(a) Chapter-6 TYPES OF ELASTICITIES OF DEMAND 1 If it is observed that, in a particular market, price has risen and quantity exchanged has increased, it is likely that: a. supply has increased. b. supply has decreased. c. demand has increased. d. emand has decreased. 2 The quantity of a good demanded rises from 1000 to 1500 units when the price falls from $1. 50 to $1. 00 per unit. The price elasticity of demand for this product is approximately: a. 1. 0 b. 16 c. 2. 5 d. 4. 0 3 If the elasticity of demand for a commodity is estimated to be 1. 5, then a decrea se in price from $2. 10 to $1. 90 would be expected to increase daily sales by: a. 50% b. 1. 5% c. 5% d. 15% 4 A long-run demand curve, as compared to a short-run demand curve for the same commodity, is generally: a. more elastic b. less elastic c. of the same elasticity d. none of the above. The price elasticity of demand is 5. 0 if a 10 percent increase in the price results in a a. 2%decrease in quantity demanded. b. 5%decrease in quantity demanded. c. 10% decrease in quantity demanded d. 50% decrease in quantity demanded. 6 Demand for a good will likely be more elastic, a. The higher the level of income. b. The larger the proportion of monthly income spent on it. c. The fewer the good substitutes available. d. The higher the price of complementary goods. 7 Demand will be more elastic, a. The higher the income. b. The lower the price. c. The shorter the passage of time after a permanent price increase. . The more substitutes available for the good. 8 The price elasticity of demand measures the sensitivity of demand to price changes. (a)True (b) False 9 If a good has no close substitutes and is regarded as a necessity by many consumers, then demand for the good will be quite elastic. (a)True (b) False 10 Cross elasticity of demand is the ratio of the percentage change in demand for a good to the percentage change in price for another. (a)True (b) False 11 A 50 percent increase in price that results in a 90 percent decrease in the quantity demanded indicates that demand is elastic in this price range. a)True (b)False 12 Demands for most goods tend to become more elastic with the passage of time. (a)True (b) False 13 If two goods are substitutes, then an increase in the price of one good will leads to an increase in the demand for the other good. (a)True (b) False 14 If two goods are complements, then a decrease in the price of one good will results in a decrease in the demand of the other good. (a)True (b) False 15 The price elasticity of demand is the same as the slope of the demand curve. (a)True (b) False 16 If demand is price elastic, then: a. a rise in price will raise total revenue. b. a fall in price will raise total revenue. . a fall in price will lower the quantity demanded. d. a rise in price won't have any effect on total revenues. 17 Complementary goods have: a. The same elasticity’s of demand. b. very low price elasticity of demand. c. negative cross price elasticity of demand with respect to each other. d. positive income elasticity of demand. 18 The price elasticity of demand generally tends to be: a. smaller in the long run than in the short run. b. smaller in the short run than in the long run. c. larger in the short run than in the long run. d. unrelated to the length of time. 19 If the price elasticity of supply of doodads is 0. 0 and the price increases by 3 percent, then the quantity supplied of doodads will rise by a. 0. 60 percent. b. 0. 20 percent c. 1. 8 percent d. 18 percent. 20 If the cross-price elastic ity between two commodities is 1. 5, a. The two goods are luxury goods. b. The two goods are complements. c. The two goods are substitutes. d. The two goods are normal goods. Answers for Self Assessment Questions 1 (c) 2 (a) 3 (d) 6 (b) 7 (d) 8 (a) 11(a) 12(a) 13(a) 16(b) 17(c) 18(b) 4 (a) 9 (b) 14(b) 19(c) 5 (d) 10 (a) 15(b) 20(c) Chapter-7 SUPPLY ANALYSIS 1 The cost of factor inputs like land, labor, and capital has a major influence on supply. a)True (b) False 2 Which of the following factors will make the demand for a product more elastic? (Assume the product has a straight-line, downward sloping demand. ) a. The product has no close substitutes. b. A very small proportion of income is spent on the good. c. A long time period has elapsed since the product’s price changed. d. A lower price 3 For a given normal supply curve, the amount of a tax paid by the buyer will be larger a. the more elastic the demand. b. the more inelastic the demand. c. the income elasticity is equa l to zero d. when the price is high. With a perfectly elastic demand and a normal supply (upward-slopping) a. consumers will bear the entire tax burden. b. consumers will not bear any tax burden. c. consumers and producer will split the tax burden in half. d. producers will not bear any tax burden. 5 Which of the following leads to the producers paying all of a tax? a. The supply is perfectly elastic. b. The supply is perfectly inelastic. c. The demand is unit elastic. d. The demand is perfectly inelastic. 6 The incidence (split) of sales tax is determined by the a. level of government which imposes the tax. b. federal government in all cases. c. greed of the seller. d. rice elasticity of supply and demand. 7 The market supply curve is the horizontal sum of the individual supply curve. (a)True (b) False 8 Supply determinants are five ceteris paribus factors that are held constant when a supply curve is constructed. (a)True (b) False 9 Supply is the willingness and ability of produce rs to make a specific quantity of output available to consumers at a particular price over a given period of time. (a)True (b) False 10 Individuals supply factors of production to firms. (a)True (b) False 11 The supply curve for tomatoes is not thus more elastic in the short run than in the momentary period. (a)True (b)False 2 Macroeconomic studies are based on empirical evidence. (a)True (b)False 13 Demand curve slopes upwards from left to right. (a) True (b)False 14 In the market, anyone who agrees to pay the requisite price of a product would be excluded from their consumption. (a) True (b)False 15 Aglets are the metal or plastic tips on shoelaces that make it easier to lace your shoes. The demand for aglets is probably a. perfectly elastic. b. inelastic. c. elastic but not perfectly elastic. d. unit elastic. 16 The cross elasticity of demand measures the responsiveness of the quantity demanded of a particular good to changes in the prices of a.Its complements but not its substit utes. b. its substitutes but not its complements. c. its substitutes and its complements d. neither its substitutes nor its complements. 17 If goods are complements, definitely their a. income elasticity’s are negative b. income elasticity’s are positive. c. cross elasticity’s are positive. d. cross elasticity’s are negative. 18 If a rise in the price of good 1 decreases the quantity of good 2 demanded, a. the cross elasticity of demand is negative b. good 1 is an inferior good. c. good 2 is an inferior good d. the cross elasticity of demand is positive. 9 The price elasticity of demand generally tends to be: a. smaller in the long run than in the short run. b. smaller in the short run than in the long run. c. larger in the short run than in the long run. d. unrelated to the length of time. 20 The demand for your services becomes more elastic. (a)True (b)False Answers for Self Assessment Questions 1 (a) 2 (c) 3 (b) 6 (d) 7 (a) 8 (a) 11(b) 12(a) 13(b) 16(c ) 17(d) 18(a) 4 (b) 9 (a) 14(b) 19(b) 5 (b) 10 (a) 15(b) 20(a) Chapter-8 PRODUCTION DECISION 1 Which of the following functions is not a core function of an organisation? a. The product/service development function b.The operations function c. The accounting and finance function d. The marketing (including sales) function 2 Most operations produce a mixture of both products and services. Which of the following businesses is closest to producing â€Å"pure† services? a. IT company b. A Restaurant c. Counsellor/therapist d. Steel company 3 Operations can be classified according to their volume and variety of production as well as the degree of variation and visibility. Which of the following operations would be classified as high volume, low variety? a. A family doctor b. A carpenter c. A front office bank d.A fast food restaurant 4 Which of the following activities is not a direct responsibility of operations management? a. Designing the operation’s products, services a nd processes b. Planning and controlling the operation c. Developing an operations strategy for the operation d. Determining the exact mix of products and services that customers will want 5 Operations can be classified according to the degree of variation in demand and visibility of the operation as well as their volume and variety of production. Which of the following operations would be classified as high variation and high visibility? a. A front office bank b.A family doctor c. A fast food restaurant d. A carpenter 6 The production function incorporates the technically efficient method of †¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦. a. production. b. process c. function d. All of these 7 A fixed input is one whose quantity cannot be varied during the time under consideration. (a)True (b)False 8 Economists find it convenient to distinguish between the †¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦. and the long run. a. short run b. large run c. big run d. None of these 9 The law of variable proportions states th at as the quantity of one factor is increased, keeping the other factors fixed, the marginal product of that factor will eventually decline. a)True (b)False 10 MRP stands for a. Marginal Revenue Product b. Marginal Revenue process c. Both (a) and (b) d. None of these 11 The book value of old equipment is not a relevant cost in a decision. (a)True (b)False 12. One of the dangers of allocating common fixed costs to a product line is that such allocations can make the line appear less profitable than it really is. (a)True (b)False 13. A differential cost is a variable cost. (a)True (b)False 14. All future costs are relevant in decision making. (a)True (b)False 15. Variable costs are always relevant costs. (a)True (b)False 6 Only the variable costs identified with a product are relevant in a decision concerning whether to eliminate the product. (a)True (b)False 17 Managers should pay little attention to bottleneck operations because they have limited capacity for producing output. (a)Tr ue (b)False 18 A cost that does not affect a decision is called an a. opportunity cost b. incremental cost c. avoidable cost d. irrelevant cost 19. Costs that change between alternatives are called a. fixed costs. b. opportunity costs. c. crelevant costs. d. sunk costs. 20. A cost incurred in the past that cannot be changed by any future action is a(n) a. pportunity cost b. sunk cost c. relevant cost d. avoidable cost Answers for Self Assessment Questions 1 (c) 2 (c) 3 (d) 6 (a) 7 (a) 8 (a) 11(a) 12(a) 13(b) 16(b) 17(b) 18(d) 4 (d) 9 (a) 14(b) 19(c) 5 (b) 10 (a) 15(b) 20(b) Chapter-9 ISOQUANT AND PRODUCTION FUNCTION 1 Economists typically assume that the owners of firms wish to a. produce efficiently. b. maximize sales revenues. c. maximize profits. d. All of these. 2 Efficient production occurs if a firm a. cannot produce its current level of output with fewer inputs. b. given the quantity of inputs, cannot produce more output. c. maximizes profit. d. All of the above. Limited liab ility is a benefit to a. sole proprietorships. b. partnerships. c. corporations. d. all of the above. 4 Which of the following statements best describes a production function? a. the maximum profit generated from given levels of inputs b. the maximum level of output generated from given levels of inputs c. all levels of output that can be generated from given levels of inputs d. all levels of inputs that could produce a given level of output 5 With respect to production, the short run is best defined as a time period a. lasting about six months. b. lasting about two years. c. in which all inputs are fixed. d. n which at least one input is fixed. 6 In the long run, all factors of production are a. variable. b. fixed. c. materials. d. rented. 7 The short-run production functions for Albert’s Pretzels. The marginal productivity of labor equals the average productivity of labor a. for all levels of labor. b. at none of the levels of labor. c. only for the first worker. d. only fo r the fifth worker. 8 the short-run production function for Albert’s Pretzels. The law of diminishing marginal productivity a. appears with the second worker. b. has not yet appeared for any of the levels of labor. c. first appears with the fifth worker. d. s refuted by this evidence. 9 If the average productivity of labor equals the marginal productivity of labor, then a. the average productivity of labor is at a maximum. b. the marginal productivity of labor is at a maximum. c. Both A and B above. d. Neither A nor B above. 10 Average productivity will fall as long as a. marginal productivity is falling. b. it exceeds marginal productivity. c. it is less than marginal productivity. d. the number of workers is increasing. 11 Factors of production are a) inputs and outputs. b) outputs only c) inputs only d) the minimum set of inputs that can produce a certain fixed quantity of output. 2 The set of all pairs (z1, z2) of inputs that yield the output y is the y-is quant. (a)True (b)False 13 L-shaped isoquants imply that production requires that the inputs are perfect substitutes. a. are imperfect substitutes. b. cannot be used together. c. must be used together in a certain proportion. d. None of these 14 Isoquants that are downward-sloping straight lines imply that the inputs a. are perfect substitutes. b. are imperfect substitutes. c. cannot be used together. d. must be used together in a certain proportion. 15 Isoquants that are downward-sloping straight lines exhibit a. n increasing marginal rate of technical substitution. b. a decreasing marginal rate of technical substitution. c. a constant marginal rate of technical substitution. d. a marginal rate of technical substitution that cannot be determined. 16 The profit maximization firm will choose the least cost combination of factors to produce at any given level of output. (a)True (b) False 17 The production function is useful in deciding on the additional value of employing a variable input in the pro duction process. (a)True (b) False 18 The additional use of an input factor should be stopped when its marginal revenue productivity just equals its price. a)True (b) False 19 The least cost combination of-factors or producer’s equilibrium is now explained with the help of †¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦.. curves and iso costs. a. iso product b. iso process c. Both(a) and (b) d. None of these 20 MRTS stands for†¦Ã¢â‚¬ ¦.. a. Marginal rate of technical structure b. Marginal rate of technical substitution c. Both(a) and (b) d. None of these Answers for Self Assessment Questions 1 (d) 2 (d) 3 (c) 6 (a) 7 (c) 8 (a) 11(c) 12(a) 13(c) 16(a) 17(a) 18(a) 4 (b) 9 (a) 14(a) 19(a) 5 (d) 10 (b) 15(c) 20(b) Chapter-10 THEORY OF COST 1 The cost of capital is critically important in finance. a)True (b)False An implicit cost is a. the cost of giving up an alternative b. the cost of a chosen alternative c. calculated by subtracting the monetary cost. d. none of the above 3 The historical co st of an asset refers to the actual cost incurred at the time the asset was acquired. (a)True (b) False 4 An Explicit cost is a business expense accounted cost that can be easily identified such as wage, rent and materials. (a)True (b) False 5 Private is the cost that has to be paid by an individual who is directly involved in the production or consumption of a particular good. a)True (b) False 6 Social cost or external cost is not the cost burden carried by individuals who are not directly involved in the production or consumption of that particular good (a)True (b) False 7 Average cost is the sum total of Average variable it and average fixed cost. (a)True (b) False 8 Cost-output relationship facilitates many managerial relationships such as: a. Formulating the standards of operations. b. Formulating the rational policy on plant size. c. Formulating a policy of profit prediction. d. All of these 9 Cost in the short-run can be classified into†¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦and variable cost. a. fixed cost b. sset c. both (a) and (b) d. None of these 10 Total fixed costs remained fixed irrespective of increase or decrease in production of activity. (a)True (b) False 11 Marginal costs is the change in total cost resulting from unit change in†¦Ã¢â‚¬ ¦.. a. output b. input c. both(a) and (b) d. None of these 12 The †¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦. implies that the cost of production continues to be low till the firm reaches the optimum scale (Marginal cost = Average cost). a. V-shape b. Q-shape c. U-shape d. All of these 13 Scale economies and returns to scale generally produce a U-shaped long-run average cost curve, such as the one displayed to the right. a) True (b) False 14 __________ is concerned with the branch of economics relating the behavior of principals and their agents. a. Financial management b. Profit maximization c. Agency theory d. Social responsibility 15 A concept that implies that the firm should consider issues such as protecting the consumer, paying fair wag es, maintaining fair hiring practices, supporting education, and considering environmental issues. a. Financial management b. Profit maximization c. Agency theory d. Social responsibility 16 Which of the following is not normally a responsibility of the treasurer of the modern corporation but rather the controller? . Budgets and forecasts b. Asset management c. Investment management d. Financing management 17 The __________ decision involves determining the appropriate make-up of the righthand side of the balance sheet. a. asset management b. financing c. investment d. capital budgeting 18 A long-run is also expressed as a series of short-runs. (a)True (b)False 19 Which of the following are used in calculating opportunity costs? a. monetary costs b. the cost of time c. preference d. all of the above 20 An explicit cost is a. the cost of giving up an alternative b. the cost of a chosen alternative c. alculated by subtracting the monetary cost of an alternative by the time invested d. none of the above Answers for Self Assessment Questions 1 (a) 2 (a) 3 (a) 6 (b) 7 (a) 8 (d) 11(a) 12(c) 13(a) 16(a) 17(b) 18(a) 4 (a) 9 (a) 14(c) 19(d) 5 (a) 10 (a) 15(d) 20(b) Chapter-11 MARKET STRUCTURE, AND PRICING 1 Which of the following cannot be classed as a market structure? a. Oligopoly. b. Perfect competition. c. Communism. d. Monopolistic competition. 2 Income and population are two variables that can be used in ______ segmentation: a. psychographic b. demographic c. lifestyle d. behavioural 3 Strong exchange rates can: a. help stimate consumer purchasing power. b. help predict change in lifestyle across Europe. c. predict the evolution of sales for particular brands. d. drive imports to become cheaper. 4 BERI stands for: a. Business Economic Risk Index. b. Business Economic Rating International. c. Business Education Rating Indicator. d. Business Environment Risk Index. 5 The size and liquidity requirements are based on the minimum invest ability requirements for the MS CI Global Standard Indices. (a) True (b) False 6 Oligopoly is a market structure in which a small number of firms account for the whole industry’s output. (a) True (b) False The number of firms and product differentiation are extremely crucial in determining the nature of competition in a market. (a) True (b) False 8 type of market structure represented by the constant returns to scale (CRS) technology includes a. Monopolistic competition b. Oligopoly c. Duopoly d. Perfect competition 9 In industries in which there are scale economies, the variety of goods that a country can produce is constrained by a. the fixed cost b. the size of the labor force c. the marginal cost d. the size of the market 10 A monopoly firm engaged in international trade but enjoying a protected home market will a. quate marginal costs with foreign marginal revenues. b. equate marginal costs with marginal revenues in both domestic and foreign markets c. equate average costs in local and foreign markets d. none of the above 11 Minimum efficient scale of production in relation to the overall industry output and market requirement sometimes play a major role in shaping the market structure. (a)True (b) False 12 Price and output decisions of firms that want to maximize profits always depend on costs. (a) True (b) False 13 Which of the following is NOT a financial objective of pricing? a. Corporate growth. b.Return on investment. c. Profit maximization. d. None of these 14 Which of the following is NOT a marketing objective? a. Cash flow. b. Positioning. c. Volume sales. d. None of these 15 Setting a price below that of the competition is called: a. Skimming. b. Penetration pricing. c. Competitive pricing. d. None of these 16 Which of the following is NOT a reason for cutting prices? a. Capacity utilisation. b. Increasing profit margins. c. Market defence. d. None of these 17 Which of the following is NOT a reason for increasing prices? a. Cost pressures. b. Price comparison. c. Curbin g demand. d.None of these 18 The costs that depend on output in the short run are: a. both total variable costs and total costs. b. total costs only. c. total fixed cost only. d. total variable costs only 19 A firm will shut down in the short run if: a. fixed costs exceed revenues. b. total costs exceed revenues. c. it is suffering a loss. d. variable costs exceed revenues. 20 In the long run, every cost is variable cost. In this period, all costs ever incurred by the firm must be recovered. (a)True (b) False Answers for Self Assessment Questions 1 (c) 2 (b) 3 (d) 6 (a) 7 (a) 8 (d) 11(a) 12(a) 13(a) 16(b) 17(b) 18(a) (d) 9 (d) 14(a) 19(d) 5 (a) 10 (b) 15(b) 20(a) Chapter-12 PERFECT COMPETITION 1. A perfectly competitive firm will maximize profit at the quantity at which the firm's marginal revenue equals a. price b. average revenue c. total cost d. marginal cost 2 Which of the following is not a valid option for a perfectly competitive firm? a. Increasing its output. b. Decreasing i ts output. c. Increasing its price. d. Increasing its resources. 3 In the long run, a perfectly competitive firm will achieve all but which of the following: a. Economic profit b. Allocative Efficiency c. Productive Efficiency d.Normal profit 4 If the price a firm receives for its product is equal to the marginal cost of producing that product, the firm is: a. Always earning an economic profit b. Always productively efficient. c. Always allocatively efficient. d. Always experiencing an economic loss. 5 A firm that is producing at the lowest possible average cost is always: a. Earning an economic profit. b. Productively efficient. c. Dominating the other firms in the market. d. Not producing enough output. 6 Which of the following is the best example of a perfectly competitive market? a. diamonds b. athletic shoes c. soft drinks d. arming 7 Perfect competition is an industry with a. a few firms producing identical goods. b. many firms producing goods that differ somewhat. c. a few fi rms producing goods that differ somewhat in quality. d. many firms producing identical goods. 8 In a perfectly competitive industry, there are a. many buyers and many sellers. b. many sellers, but there might be only one or two buyers. c. many buyers, but there might be only one or two sellers. d. one firm that sets the price for the others to follow. 9 In perfect competition, the product of a single firm a. is sold to different customers at different prices. b. as many perfect complements produced by other firms. c. has many perfect substitutes produced by other firms. d. is sold under many differing brand names. 10 In perfect competition, restrictions on entry into an industry a. do not exist. b. apply to labor but not to capital. c. apply to both capital and labor. d. apply to capital but not to labor. 11 Price for a firm under monopolistic competition is ______. a. equal to marginal revenue b. greater than marginal revenue c. less than marginal revenue d. greater than total reve nue 12 In the long run, monopolistically competitive firms tend to experience ______. a. high economic profits b. ero economic profits c. negative economic profits d. substantial economic losses 13 Marginal revenue for a monopolist is ______ a. equal to price b. greater than price c. less than price d. equal to average revenue 14 Perfect competitions describes a market structure whose assumptions are extremely strong and highly unlikely to exist in most real-time and real-world markets. (a)True (b) False 15 Monopolistic competition is a market structure characterized by a large number of relatively small firms. (a)True (b) False 16 A monopolist can sell more of his output only at a lower price and can reduce the sale at a high price. a)True (b) False 17 A monopoly is a market structure in which there is not only one producer/seller for a product. (a)True (b) False 18 A perfectly competitive firm produces the profit-maximizing quantity of output that equates marginal revenue and marg inal cost. (a)True (b) False 19 A perfectly competitive firm faces †¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦.. production alternatives based on a comparison of price, average total cost, and average variable cost. a. four short-run b. three short-run c. five short-run d. All of these 20 A perfectly competitive firm’s marginal cost curve that lies above the †¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦.. of the average variable cost curve is its supply curve. . minimum b. maximum c. both(a) and (b) d. None of these Answers for Self Assessment Questions 1 (d) 2 (c) 3 (a) 6 (d) 7 (d) 8 (a) 11(a) 12(b) 13(a) 16(b) 17(b) 18(a) 4 (c) 9 (c) 14(a) 19(b) 5 (b) 10 (a) 15(a) 20(a) Chapter-13 OLIGOPOLY AND PRICING STRATEGIES 1 A price- and quantity-fixing agreement is known as: a. game theory. b. price leadership. c. collusion. d. price concentration. 2 A group of firms that gets together to make price and output decisions is called: a. a cartel. b. price leadership. c. an oligopoly. d. a concentrated industry 3 Products produced by oligopolistic ? rms are: a. Homogeneous. b. Heterogeneous. . Differentiated. d. Heterogeneous or differentiated. 3 Oligopoly is the only market structure characterized by: a. Interdependence in pricing and output decisions. b. Differentiated products. c. Barriers to entry. d. Pro? t-maximizing behavior. 4 Oligopoly is characterized by all of the following except: a. A few large ? rms. b. Differentiated product. c. Difficult entry into the industry. d. Price competition 5 A major threat to longer term profits exists when barriers to entry into an industry are high. (a)True (b) False 6 Under kinked demand theory the prices of oligopolists are predicted to be rather rigid or ‘sticky'. a)True (b) False 7 In contestable markets, large oligopolistic firms end up behaving like: a. a monopoly. b. monopolistically competitive firms. c. a cartel. d. perfectly competitive firms 8 Which of the following types of oligopoly competition would you expect to result in the highest market out put, other things equal? a. b. c. d. Stackelberg. Bertrand. Cornet. Collusion 9 The demand curve has a kink at the price which is equal to full cost price. (a) True (b) False 10. An pro? t maximizing, oligopolistic firms produces at an output level where: a. P = ATC. b. MR = MC. c. MR = ATC. d. AVC > MR. e.P = MR 11 Cartels are most likely to arise in which of the following market structures? a. Perfect competition. b. Monopolistic Competition. c. Oligopoly. d. Monopoly. 12 A cartel is a formal collusive organization of the oligopoly firms in an industry. (a) True (b) False 13 Needs such as training the group, setting standards and maintaining discipline, and appointing sub-leaders may be called: a. team functions. b. work functions. c. individual functions. d. task functions. 14 The Hall and flitch model of the kinked demand curve is based on an empirical survey of a sample of 38 well managed arms in England. a) True (b) False 15 The model uses the analytical tools of reaction func tions of the duopolists derived on the basis of is not profit curves. (a) True (b) False 16 The important models of non-collusive oligopoly are: (a) Cournot model, (b) Kinked Oligopoly demand curve models. (a) True (b) False 17 Which of the following is not an operations strategy? a. response b. low-cost leadership c. differentiation d. technology 18 Which of the following is not one of the leadership styles identified in House’s pathgoal theory? a. Participative. b. Employee-centered. c. Directive. d. Achievement-oriented. 9 The petroleum industry is an example of a. monopolistic competition. b. pure oligopoly. c. duopoly. d. differentiated oligopoly. 20 The kinked demand curve model assumes that a. firms match price increases, but not price cuts. b. demand is more elastic for price cuts than for price increases. c. changes in marginal cost can never lead to changes in market price. d. None of the above is correct. Answers for Self Assessment Questions 1 (c) 2 (a) 3 (d) 6 (b ) 7 (a) 8 (b) 11(b) 12(c) 13(a) 16(a) 17(d) 18(b) 4 (a) 9 (b) 14(a) 19(b) 5 (d) 10 (a) 15(b) 20(d) Chapter-14 PROFIT ANALYSIS 1.A variable cost is a cost that a. varies per unit at every level of activity b. occurs at various times during the year c. varies in total in proportion to changes in the level of activity d. may not be incurred, depending on management's discretion 2. A cost which remains constant per unit at various levels of activity is a a. variable cost b. fixed cost c. mixed cost d. manufacturing cost 3. A fixed cost is a cost which a. varies in total with changes in the level of activity b. remains constant per unit with changes in the level of activity c. varies inversely in total with changes in the level of activity d. emains constant in total with changes in the level of activity 4. Cost behavior analysis is a study of how a firm's costs a. relate to competitors' costs b. relate to general price level changes c. respond to changes in activity levels within the co mpany d. respond to changes in the gross national product 5. Cost behavior analysis applies to a. retailers b. wholesalers c. manufacturers d. all entities 6. The relevant range of activity refers to the a. geographical areas where the company plans to operate b. activity level where all costs are curvilinear c. levels of activity over which the company expects to operate d. evel of activity where all costs are constant 7. Which of the following is not a plausible explanation of why variable costs often behave in a curvilinear fashion? a. Labor specialization b. Overtime wages c. Total variable costs are constant within the relevant range d. Availability of quantity discounts 8. Firms operating constantly at 100% capacity a. are common b. are the exception rather than the rule c. have no fixed costs d. have no variable costs 9. Which one of the following is a name for the range over which a company expects to operate? a. Mixed range b. Fixed range c. Variable range d.Relevant range 10 The graph of variable costs that behave in a curvilinear fashion will a. approximate a straight line within the relevant range b. be sharply kinked on both sides of the relevant range c. be downward sloping d. be a stair-step pattern 11. A mixed cost contains a. a variable cost element and a fixed cost element b. both selling and administrative costs c. both retailing and manufacturing costs d. both operating and non-operating costs 12. The variable costing method is also known as the direct costing method indirect costing approach absorption costing method period costing approach 13.The costing approach that charges all manufacturing costs to the product is referred to as a. variable costing b. contribution margin costing c. direct costing d. absorption costing 14. Variable costing is acceptable for a. financial statement purposes b. profit tax purposes c. internal use by management only d. profit tax purposes and for internal use by management 15. CVP analysis does not consider a. level of activity b. fixed cost per unit c. variable cost per unit d. sales mix 16. Which of the following is not an underlying assumption of CVP analysis? a. Changes in activity are the only factors that affect costs b.Cost classifications are reasonably accurate c. Beginning inventory is larger than ending inventory d. Sales mix is constant 17. Which of the following would not be an acceptable way to express contribution margin? a. Sales minus variable costs b. Sales minus unit costs a. b. c. d. c. d. Unit selling price minus unit variable costs Contribution margin per unit divided by unit selling price a. b. c. d. 18. The level of activity at which total revenues equal total costs is the variable point fixed point semi-variable point break-even point 19. The break-even point is where a. otal sales equals total variable costs b. contribution margin equals total fixed costs c. total variable costs equal total fixed costs d. total sales equals total fixed costs 20. Gross profit also includes rent that arises from the entrepreneur’s own land used in his production of output. a. True b. False Answers for Self Assessment Questions 1. (c) 2. (a) 3. (d) 4. (c) 7. (c) 8. (b) 9. (d) 10. (a) 11. (a) 14. (c) 15. (b) 16. (b) 17. (b) 18. (d) 5. (d) 12. (a) 19. (b) 6. (c) 13. (d) 20. (a) Chapter-15 1. There are †¦Ã¢â‚¬ ¦. methods which can be used to appraise any investment project: (a) 1 (b) 2 (c) 3 (d) 4 2.National income is the total of the value of the goods and the services which are produced in an economy. (a) True (b) False 3. Which two of the following are likely to raise the equilibrium value of National Income? (a) Rise in savings. (b) Rise in imports. (c) Rise in government spending. (d) Rise in exports. 4. Which two of the following are excluded when measuring National Income? (a) Value added in the output method. (b) Value of intermediate inputs in the output method. (c) Consumer spending in the expenditure method. (d) Transfer payments in the income method. 5.The return on an investment comes in the form of a stream of earnings in the future. (a) True (b) False 6. Cost-benefit analysis is a process for evaluating the merits of a particular project or course of action in a systematic and rigorous way. (a) True ` (b) False 7. ‘Real’ investment is not (a) the amount that shareholders are willing to provide for shares in a company (b) the cost of development of a new product (c) expenditure on public relations, staff training or research and development (d) expenditure on non-current assets such as plant, machinery, land and buildings 8.Which of the following statements about IRR and NPV is not correct? (a) NPV always gives the correct investment decision. (b) IRR gives an unreliable answer with non-conventional projects. (c) IRR can accommodate changes in the cost of capital. (d) IRR is a useful relative measure if comparing projects of differing sizes. 9. Gross Domestic Product (GDP) is the total market value of all final goods and services currently produced within the domestic territory of a country in a year. (a) True (b) False 10. Which of the following will not be a relevant factor when using the payback method of capital investment appraisal? a) The timing of the first cash inflow (b) The total cash flows generated by the asset (c) The cash flows generated by the asset up to the payback period (d) The cost of the asset 11. Why the payback method is often considered inferior to discounted cash flow in capital investment appraisal? (a) I is more difficult to calculate (b) It does not calculate how long it will take to recoup the money invested (c) It does not take account of the time value of money (d) It only takes into account the future income of a project 12.Gross National Product is the total market value of all final goods and services produced in a year. (a) True (b) False 13. In 2005†¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦. was the least significant liability of U. S. nonfinancial businesses i n terms of total value. (a) bonds and mortgages (b) bank loans (c) inventories (d) trade debt 14. †¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦.. are examples of financial intermediaries. (a) Commercial banks (b) Insurance companies (c) Investment companies (d) All of the above 15. Financial assets †¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦.. a) directly contribute to the country's productive capacity (b) indirectly contribute to the country's productive capacity (c) contribute to the country's productive capacity both directly and indirectly (d) do not contribute to the country's productive capacity either directly or indirectly 16. The means by which individuals hold their claims on real assets in a welldevelopedeconomy are (a) investment assets. (b) depository assets. (c) derivative assets (d) financial assets 17. Capital budgeting is the process of evaluating and selecting long-term investments that are consistent with the goal of the firm. a) True (b) False 18. Although derivatives can be used as speculative instru ments, businesses most often use them to (a) attract customers. (b) appease stockholders. (c) offset debt. (d) hedge 19. The investment in fixed assets increases the fixed cost of the firm which must be recovered from the benefit of the same project. (a)True (b) False 20. National Income is defined as the sum total of all the goods and services produced in a country, in a particular period of time. (a) True (b) False Answer 1. (c) 2. (a) 3. (c) 4. (b) 5. (a) 6. (a) 7. (a) 8. (c) 9. (a) 10. (b) 11. (c) 12. (a) 13. (b) 14. (d) 15. b) 16. (d) 17. (a) 18. (d) 19. (a) 20. (a) Chapter-16 1. In period of inflation, phantom or paper profits may be reports as a result of using the: (a) FIFO costing assumption (b) Perpetual inventory method (c) LIDO costing assumption (d) Periodic inventory method 2. Inflation is: (a) an increase in the overall price level. (b) an increase in the overall level of economic activity. (c) a decrease in the overall level of economic activity. (d) a decrease in th e overall price level. 3. Aggregate supply is the total amount: (a) produced by the government. (b) of goods and services produced in an economy. c) of labour supplied by all households. (d) of products produced by a given industry. 4. The value of a dollar does not stay constant when there is inflation. (a) True (b) False 5. The inflation rate in India was recorded at 7. 23% in†¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦ (a) April of 2009 (b) April of 2010 (c) April of 2011 (d) April of 2012 6. The function of money that helps assess the opportunity cost of an activity is money's use as a (a) medium of exchange. (b) store of value. (c) unit of account. (d) store of debt. 7. An official measure of money in the United States is M1, which consists of the sum of (a) currency plus traveler's checks. b) currency plus checkable deposits. (c) currency plus traveler's checks plus checkable deposits. (d) currency plus traveler's checks plus time deposits. 8. Implies no trade-off between unempl oyment and inflation. (a) GDP deflator (b) Shoe leather’ costs (c) Long-run Phillips curve (d) ‘Menu’ costs 9. The inflation rate is used to calculate the real interest rate, as well as real increases in wages. (a) True (b) False 10†¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦ the quantity of money in the United States. (a) The State Department controls (b) The Department of Treasury controls (c) The Federal Reserve System controls (d) Commercial banks control 11.There are broadly †¦.. ways of controlling inflation in an economy. (a) 2 (b) 3 (c) 4 (d) 5 12. The balance of payments of a country is said to be in equilibrium when the demand for foreign exchange in exactly equivalent to the supply of it. (a) True (b) False 13. A general decline in prices is often caused by a reduction in the supply of†¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦.. (a) money or debit (b) money or credit (c) money (d) None of these 14. The opportunity cost of holding money is the (a) inflation rate minus th e nominal interest rate. (b) nominal interest rate. (c) real interest rate. (d) unemployment rate. 15.If the Fed is worried about inflation and wants to raise the interest rate, it (a) increases the demand for money. (b) increases the supply of money. (c) decreases the demand for money. (d) decreases the supply of money. 16. The circular flow of goods and incomes shows the relationship between: (a) income and money. (b) goods and services. (c) firms and households. (d) wages and salaries. 17. Fiscal measures to control inflation include taxation, government expenditure and public borrowings. (a) True (b) False 18. Hyperinflation (a) occurs in the United States during each business cycle. b) occurs only in theory, never in reality. (c) has never occurred in the United States. (d) happens in all countries at some time during their business cycle. 19. Hyperinflation refers to a situation where the prices rise at an alarming high rate. (a) True (b) False 20. The inflation rate is used t o calculate the real interest rate, as well as real increases in wages. (a)True (b) False Answer 1. (b) 2. (a) 3. (b) 4. (a) 11. (a) 12. (a) 13. (b) 14. (c) 5. (d) 6. (c) 15. (d) 16. (c) 7. (c) 8. (c) 17. (a) 18. (c) 9. (a) 10. (c) 19. (a) 20. (a)