CS/B.Tech /ME/PE/AUE/SEM-7/HU-702/2012-13
2012
ENGINEERING ECONOMY & FINANCIAL
MANAGEMENT
Time Allotted : 3 Hours Full Marks : 70
The figures in the margin indicate full marks.
Candidates are required to give their answers in their own words
as far as practicable.
GROUP – A
( Multiple Choice Type Questions )
1. Choose the correct alternatives for any ten of the following :
10 × 1 = 10
i) Break-even point is a point at which the firm makes
a) zero profit b) normal profit
c) super profit d) loss.
ii) Margin of Safety means
a) BEP sales ( − ) Actual sales
b) Actual sales ( − ) BEP sales
c) Budgeted sales ( − ) BEP sales
d) Fixed assets.
iii) Working Capital means
a) Current Assets ( − ) Non-current Liabilities
b) Non-current Assets ( − ) Current Liabilities
c) Current Assets ( − ) Non-current Liabilities
d) Current Liabilities.
iv) Current ratio measures
a) the solvency of the business
b) the liquidity of the business
c) the profitability of the business
d) the efficiency of the business.