ACHARYA NAGARJUNA UNUVERSITY,GUNTUR, MBA (Human Resource Management)- First Year(Distance Education)

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ASSIGNMENT - 1, DEC - 2014.
EXECUTIVE M.B.A. DEGREE EXAMINATION
First and Second Years
Paper – I : PERSPECTIVES OF MANAGEMENT
Maximum : 25 MARKS
Answer ALL questions
1) a) Rationale decision
b) Manager
c) Hierarchy
d) Effective Communication
e) Uses of CPM
f) Nature of staffing
2) Explain the scope and significance of management.
3) Give an account of Planning Premises
4) What are the difficulties involved in the delegation of authority?
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Paper – I : PERSPECTIVES OF MANAGEMENT
Maximum : 25 MARKS
1) State the tests employed in the selection of employees.
2) Which style of leadership is best suited to Indian Industry? Why?
3) Bring out the modern control techniques used in a concern.
4) Mohan, a senior operator in a company has been working in an engineering firm
manufacturing shafts. He joins a workers’ union in 1989. The union has a strong
hold over the workers. Mohan was the representative of his department. Most of
his time was involved with union activities. In 1990, he was seriously injured
in a clash with his co – workers for some particular reason. He was
suspended by the management for six months. During this period, the
management, after a thorough enquiry, found out the real cause of the clash.
Under pressure from the union, Mohan was reinstated in the factory in 1991.
Mohan meanwhile continued in his own union.
Mohan resumed his duties but did not perform as well as he used to before the
clash with his co-workers. When asked by his immediate supervisor Mr.

Ramesh, to explain as to why his performance had deteriorated he said that he
could not lift heavy materials because of his injury. The supervisor tried to
motivate him to improve his performance but to no effect.
As the appointment of Mohan was made on the recommendation of Mr. Mehra,
a senior officer of the production department, Mr. Ramesh appraised him of
Mohan’s performance. A decision was taken by both the officials that Mohan be
transferred to the production department. This again had no effect on Mohan’s
performance and his attitude to work remained unchanged. He was thereafter
transferred back to his former department.
Questions:
i) Should Mohan have been transferred back to his former department?
ii) Comment upon Mr. Ramesh and Mr. Mehra’s joint decision.
iii) What do you think could have been the reasons for Mohan’s behaviour?
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Paper – II : BUSINESS ENVIRONMENT
Maximum : 25 MARKS
1) a) Legal environment
b) Foreign Capital flow
c) Liberalisation
d) Balanced regional development
e) Joint sector
f) Sick unit
2) What are the causes for encouraging FDI?
3) Suggest measures to prevent industrial sickness.
4) Examine the economic reforms introduced in the recent past.
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Paper – II : BUSINESS ENVIRONMENT
Maximum : 25 MARKS
1) Review the stages in the evolution of industrial policy.
2) Bring out the impact of economic environment on business.
3) What are the issues in the privatisation of public sector.
4) Mahindra and Mahindra (M & M) is a major player in the tractor and certain
segments of the automobile market in India, after an impressive growth for a
few years, the tractor market in India has been stagnating during 98-99, 2000-
01.
M & M has been selling its tractor and utility vehicles in foreign markets
including USA. Some of the components for its products have been sourced
from abroad. M & M has a 100% subsidiary in USA, Mahindra USA, with a
strong network of 100 dealers. Mahindra has a five-percent market share in the
US market in the 28-30 horse power (HP) range. As a part of the strategy aimed
at building a global supply chain, Mahindra USA has signed a memorandum of
understanding (Mou) with the Korean tractor major Tong Yang, apart of the $ 2

bn Tong Yang Moolsam group, according to which Mahindra will source high
horse power (mostly 25-40 hp range) and sell them around the world under the
M & M brand name. To start with the premium range of tractors will be sold in
the US.
M & M’s current tractor range is more utility oriented and lacks the aesthetic
appeal that Tong Yang’s tractors, have, a must for a strong presence in the US
market.
Questions:
i) What are the advantages and disadvantages of global sourcing? and
ii) What are the possible risks of the alliance? How can they be overcome /
minimized?
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Paper – III : MANAGERIAL ECONOMICS
Maximum : 25 MARKS
1) a) Scope of managerial economics
b) Demand schedule
c) Opportunity cost
d) Monopolistic competion
e) Concept of profit
f) Economics of risk
2) How does managerial economics help to solve managerial problems?
3) Explain different methods of demand forecasting.
4) State different types of costs with examples.
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Paper – III : MANAGERIAL ECONOMICS
Maximum : 25 MARKS
.
1) Describe the pricing practices of firms.
2) How is price determined under oligopoly?
3) Discuss the appraisal of proposal under capital budgeting.
4) Mr. Soma Sundaram has recently taken over as the new chief of the Marketing
division of Hilltop Refrogeratopm Ltd., a reputed manufacturer of air
conditioners of window-mount and car varieties. In the recent Board meeting
Sundaram tried to convince the Board members that at present the best way to
improve profitability of the company is through product diversification.
According to his, since it is almost always economically justifiable for the
company to expand through extending the product line, the company would do
good to start producing refrigerators, besides air-conditioners. I concede that the
refrigerator market is highly competitive and is dominated by two giants firms –
ever cool and polar bear. Both these companies are producing a variety of
refrigerators but the economy class refrigerators are their forte. It is but logical
for us to go in for the production of premium (up-scale, high price) refrigerators.

This will not only expose us to lesser competition but also fetch high profit
margins for the company. I must confess that the refrigerator sales involve
substantial discounts which vary over seasons. The MD of hilltop turned
towards the purchase manager for his opinion. He informed that, “the market
supply of good quality compressor units for the refrigerators is erratic and its
price has been found to spurt up occasionally. I believe that the refrigerator
business would be successful only when we have our own facility to produce
good quality compressors’. When the chief of the production unit asked about
his reactions was not ready to try this proposal. According to him “The
compressor production is a highly automated process. Creating compressor
production facilities in the company for the proposed refrigerator project, no
doubt, seem justified. But, there are some aspects of production which do not
justify this project. I shall study them in detail and send a detailed note to every
member within a week”.
Questions:
1. What do you think are the issues which the production manager will
highlight in this case?;
2. Can you point out some other flaws in the project proposal?; and
3. Can you suggest an alternative proposal?
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Paper – IV : ACCOUNTING FOR MANAGERS
Maximum : 25 MARKS
1) a) Uses of funds flow statement
b) Absorption costing
c) P/V ratio
d) Limitations of current cost accounting method
e) Conservative principle
f) Marginal cost
2) Discuss the role of accountant in a modern business organization.
3) What are the different sources of Funds?
4) Elucidate accounting standards relating to depreciation and inventory valuation
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Paper – IV : ACCOUNTING FOR MANAGERS
Maximum : 25 MARKS
1) State the legal requirements relating to accounting disclosure.
2) What are the managerial uses of BE analysis?
3) Elucidate the merits of different methods of inflation accounts.
4) From the following Trial balance and additional information, you are required
to prepare a trading and profit and loss account and balance sheet
Trial balance as on 31.12.2005
Particulars Debit Rs. Credit Rs.
Capital 20,000
Sundry debtors 5,400
Drawings 1,800
Machinery 7,000
Sundry creditors 2,800
Wages 10,000
Purchases 19,000
Opening stock 4,000

Bank balance 3,000
Carriage 300
Salaries 400
Rent and taxes 900
Sales 29,000
51,800 51,800
Additional information:
i) Closing stock Rs. 12,000.
ii) Outstanding Rent and taxes Rs. 100.
iii) Charge depreciation on machinery at 10%.
iv) Wages prepaid Rs. 400.
v) Samples distributed Rs. 1,000.
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Paper – V : QUANTITATIVE TECHNIQUES FOR MANAGERIAL DECISIONS
Maximum : 25 MARKS
1) a) Dimension of a matrix
b) Coefficient of variation
c) Pie-chart
d) Permutation
e) Standard error
f) Measurement of cyclical variation
2) A company has two plants to manufacture the scooters. Plant I manufactures 80% of the
scooters and Plant II manufactures 20%. At the Plant I, 85% of the scooters are rated standard
quality. At the Plant II, only 65% scooters are rated standard quality.
i) What is the probability that a scooter selected at random came from the plant I, if it is
known that the scooter is of standard quality?
ii) What is the probability that the scooter came from the plant II, if it is known that the
scooter is of standard quality.
3) Using the method of deviations from the actual Means from the data given below find
i) The two regression equations
ii) The correlation coefficient and
iii) The most probable value of Y when X = 30.

X: 25 28 35 32 31 36 29 38 34 32
Y: 43 46 49 41 36 32 31 30 33 39
4) Ascertain the sum of numbers in the nth row of the following distribution of the natural
numbers:
1
2 3
4 5 6
7 8 9 10
11 12 13 14 15
16 17 18 19 20 21
.. .. .. .. .. ..
.. .. .. .. .. .. .. ..
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Paper – V : QUANTITATIVE TECHNIQUES FOR MANAGERIAL DECISIONS
Maximum : 25 MARKS
1) Using the straight line method of least square, compute the trend values, and draw the line of
the best fit for the following series:
Day:
Sales:
1
20
2
30
3
40
4
20
5
50
6
60
7
80
Also, show the curve for the original data on the same graph paper.
2) State the limitations of different techniques of sampling.
3) What are the instruments used in the collection of data?
4) From the following observations, compute the Karl Pearson’s co-efficient of correlation by
the short-cut method between the age and the success of the candidates.
Ages: 15 16 17 18 19 20 21 22
No. of candidates appeared:
No. of successful candidates:
200
120
300
180
100
60
50
30
150
90
400
250
250
140
150
80
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Paper – VI : INFORMATION MANAGEMENT AND COMPUTER APPLICATIONS
Maximum : 25 MARKS
1) a) Virus infection
b) Database
c) Placement
d) Office automation
e) CPM
f) Planning process
2) What are the uses of personal computer?
3) Among the various managerial skills human skills pose great challenge to
manager. Comment.
4) What are the employment implications of computers?
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Paper – VI : INFORMATION MANAGEMENT AND COMPUTER APPLICATIONS
Maximum : 25 MARKS
1) Enumerate the role of MIS in computerization.
2) State the applications of COBOL in management.
3) Explain different types of computer programming languages
4) At Viacom International, the New York based parent of MTV, Nicklodeon and
other entertainment interests the CFO teamed with executives from,
sales, marketing and contracting to lead the company in new directions. Because
financial processes are so intertwined with the processes of other departments,
top managers felt that redesigning finance should ideally be part of a company –
wide comprehensive reengineering project. Viacom targeted its financial
systems to find a better way to handle the financial reporting of its wholly
owned subsidiaries which it is acquiring at the rate of about three every year.
The company plans to develop a system which reduces paper pushing and
facilitates the electronic transmission of transactions from the decision maker to
the next. Another goal of the company is to build financial systems that give

decision makers time to analyze data rather than spending their time collecting
it.
Questions:
i) Identity the reasons why financial systems are excellent tools for
facilitating decision making; and.
ii) Explain why financial information systems were at the centre of initiating
change at Viacom.
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Paper – VII : FINANCIAL MANAGEMENT
Maximum : 25 MARKS
1) a) EOQ
b) Liquidation rate
c) EBIT
d) Walter’s model concerning dividends
e) Net working capital
f) Financial leverage
2) A company has annual credit sales of Rs. 10 lakh and a gross profit margin of
30%. It has current assets in accounts receivables worth Rs. 1,00,000. How
much average inventory should the company carry if the management desires
the inventory turnover ratio to be 5.2. What will be the effect on average
collection period, if management desires that the average balance of accounts
receivables per annum should remain at Rs. 75,000. (Assume 360 days in a
year).

3) State the managerial uses of BE analysis.
4) What are the consideration in deciding capital structure?
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Paper – VII : FINANCIAL MANAGEMENT
Maximum : 25 MARKS
1) Enumerate the considerations in dividend decisions.
2) What are the features of money market?
3) Elucidate the role of finance manager in finance function.
4) A firm whose cost of capital is 10% is considering two mutually exclusive
projects X and Y. The cash flows of which are given below:
Year Project X Project Y
Rs. Rs.
0 -1,00,000 -70,000
1 80,000 60,000
2 80,000 60,000
Suggest which project should be taken up using:
i) Net present value method and
ii) Profitability index method.
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Paper – VIII : OPERATIONS MANAGEMENT
Maximum : 25 MARKS
1) a) Capacity cushion
b) Value added process
c) Quality assurance
d) Stores management
e) Facilities layout
f) Waste management
2) Explain how operations management helps in decision making.
3) Why are facilities location decisions are important?
4) Describe different kinds of maintenance management.
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Paper – VIII : OPERATIONS MANAGEMENT
Maximum : 25 MARKS
1) Discuss value engineering function with an example.
2) Bring out different models of inventory Management.
3) What are considerations while designing facilities layout in a concern?
4) As a cargo loader for Air India, you are charged with the responsibility of
setting a standard time (in minutes) for uploading certain electrical components.
The following study was conducted over 300 hours with 900 up loadings
performed.
Composite worker
rating (in %)
Activity No. of times
observed
80 Manually check and lift electrical
component onto trailer
100
100 Tow loaded trailer to aircraft with
tractor
300

120 Check electrical contacts (this time will
be reduced by 50% by an additional
inspection during manufacturer)
400
90 Correct any malfunctioning observed 100
110 Load electrical component into plane
using automatic lift
400
140 Return tractor and tailer to warehouse 300
Idle time 400
Air India personal time allowance fraction is 0.10 for an 8 hour workday.
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Paper – IX : MARKETING MANAGEMENT
Maximum : 25 MARKS
1) a) Ecological pressure on marketing
b) Marketing vs selling
c) Niche strategy
d) Consumer adoption process
e) Product addition
f) Geographical pricing
2) What are the factors that may be considered while selecting channel of
distribution?
3) State the tools used for promotion of sales.
4) Explain the considerations in marketing control.
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Paper – IX : MARKETING MANAGEMENT
Maximum : 25 MARKS
1) State the nature and scope of marketing in non-business organisations.
2) Describe the implications of study of product life cycle.
3) Bring out the psychological factors that influence buying behaviour.
4) Sriram (P) Ltd., is the nation’s largest fan manufacturer. Each fan division
(Ceiling, Pedestal, Table, Exhaust) has a separate advertising budget,
advertising staff and sales force. Advertisements are screened by Divisional
Sales Managers, General Manager the overall General Director of advertising.
General promotion plans are received by the Sriram (P) Ltd., marketing policy
group. There are also separate sales promotion budgets for dealer-incentive
contests, dealer announcement shows, posters, window displays and fan shows.
Publicity is sought each time a new model or innovation is introduced. Sriram
(P) Ltd., institutional advertising is handled by a Public Relations Department.
These advertisements stress the company’s commitment to building better
products and holding down insurance costs.

Questions:
i) Assess the promotion-mix of Sriram (P) Ltd; and
ii) Should Sriram Private Ltd. Use the same promotion-mix for each of its
product lines?
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Paper – X : HUMAN RESOURCE MANAGEMENT
Maximum : 25 MARKS
1) a) Legacy of HRM.
b) Job design.
c) Significance of HRP.
d) Outsourcing.
e) Application blank.
f) Counselling.
2) What are the merits and demerits of promotion by seniority?
3) How do you assess the effectiveness of employee training programme?
4) Explain different methods of wage payment.
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Paper – X : HUMAN RESOURCE MANAGEMENT
Maximum : 25 MARKS
1) What are the causes and consequences of labour turnover?
2) State the factors that influence job satisfaction.
3) Describe the psychological tests employed in the selection of employees.
4) Ramoji Rao is in charge of a bindery in Vijayawada, which employs
fifteen people, five of whom work in the factory. Three of these employees run
machines, one supervises, and the fifth moves the blank paper and finished
print by handcar. This fifth position, which demands no skill other than driving
a handcar, needs to be filled and three applicants have responded.
The first is Mr. Matti Anjaiah who is thirty five, unmarried, and a Navy
veteran. Anjaiah has a poor work record. During his five years in Vijayawada
he has, worked only seasonal labour and occasional odd jobs. He drove a
forklift in the Navy, while working at Visakhapatnam. He has a strong built,
which could help, although the work is generally light.

Mr. Nehal Singh, age twenty two came to Vijayawada two years back
from Punjab. He has done farm labour for many years and assembly-line work
for one year. His command of English is poor (but can speak the regional
language, Telugu, fluently). He resides with his mother and seems certain to
remain in the area for some time. After having run farm equipment, he should
have no trouble steering a handcar.
Mr. Vangaveeti Raja is a local boy who finished high school two years ago.
Subsequently, he got a diploma from a local III and is currently employed as
an assistant in Savani Transport Company, Vijayawada. His character
references are excellent. Mr. Raja is small, but he seems quick and was a track
star in high school.
i) How much consideration should be given to Mr. Anjaiah's poor work
record? Should Mr. Ramoji Rao check to verify it?;
ii) How important is command of English to the job? How quickly could
Mr. Nehal Singh assimilate enough English to be effective?;

iii) Should Mr. Nehal Singh be passed over because of his status as a recent
migrant?;
iv) Should Mr. Raja get the job? How heavily should his references be
weighed against his inexperience?; and
Who should be hired? Why?
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ACHARYA NAGARJUNA UNUVERSITY,GUNTUR, MBA (Human Resource Management)- First Year(Distance Education)

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