1yrMcomN13-14

8/12/2019 1yrMcomN13-14

1/10

Dr. B R AMBEDKAR OPEN UNIVERSITYDEPARTMENT OF COMMERCE

PROGRAM: MASTER OF COMMERCE (M.COM)

M.COM-01: ORGANIZATION THEORY AND BEHAVIOR

(2013-14 Batch)

ASSIGNMENT I (Marks : 15)

Instructions :

I. Answer all the questions

II. All questions carry equal marks

1. (a) Define Organization and explain its characteristics.

(b) Explain the principles propounded by Henry Fayol.

2. (a) Discuss, in detail, the Harwthorne Experiments.

(b) Define Organization as a system and explain the sub-systems.

3. (a) Explain the meaning of Organizational Behaviour (OB) and discuss the approaches

available to study Organizational Behaviour.

(b) Consider an organization where you now work (or where you have worked) and

explain what model (paradigm) of organizational behavior does (did) your supervisor

follow? Is (was) it the same as top managements model?

ASSIGNMENT -1I

Instructions :


II. All questions carry equal marks

Marks : (3x5=15)

1 (a) Explain the nature of man and discuss the models of man.

(b) Define personality and explain the nature and characteristics of personality.

2 (a) Define Change and explain the reasons for Resistance to Change.

(b) Describe the communication process and analyse the barriers in effective

communication.

3. Define Leadership and explain the theories of Leadership.

8/12/2019 1yrMcomN13-14

2/10



M.COM-2 : ACCOUNTING FOR MANAGEMENT

(2013-14 Batch)


Answer all the questions

Each question carries fivemarks

1. How does Management Accounting differ from Financial Accounting and CostAccounting ? Discuss management accounting as an effective tool of financial control.

2. From the following information pertaining to a company prepare its Trading, P&L A/c.for the year ended March 31, 2012 and a summarized Balance Sheet as at that date.

Current ratio 2.5Quick ratio 1.3

Proprietary ratio (Fixed assets/Proprietary fund) 0.6Gross profit ratio 10%

Debtors velocity 40 daysSales Rs.14,60,000

Working capital Rs.2,40,000Bank overdraft Rs.30,000

Net profit 10% of proprietary funds

Closing stock is 10% more than opening stock.

3. You have been supplied data for a company and its industry averages.

(i) Determine the indicated ratios for the company ; and(ii) Indicate the companys strengths and weaknesses in terms of liquidity, solvency

and profitability, as revealed by your analysis.

Balance sheet as at March 31, 2012

Liabilities Rs. Assets Rs.

Equity share capital 1,00,00,000 Plant and equipment 1,51,00,00010% Preference share capital 40,00,000 Cash 12,30,000Retained earnings 27,40,000 Drs. 36,00,000

Long-term debt 34,00,000 Stock 60,80,000Sundry Crs. 31,50,000

Outstanding exps. 1,20,000Other current liabilities 26,00,000

__________ __________2,60,10,000 2,60,10,000

__________ __________

8/12/2019 1yrMcomN13-14

3/10

Statement of profit for the year ended March 31, 2012

Rs. Rs.

Sales Net 2,25,00,000Less: cost of goods sold 1,52,50,000Selling expenses 29,50,000

Administrative expenses 14,80,000Research and development 6,50,000

Interest 2,90,000 2,06,20,000

Earnings before taxes 18,80,000

Less: Income tax (0.35) 6,58,000__________

12,22,000__________

Dividends paid to equity share holders 5,00,000__________

Financial Ratios of Industry

i. Current ratio 2.2

ii. Stock turnover (times) 2.8iii. Collection period (days) 56

iv. Total debt./shareholders equity (%) 45v. Interest coverage ratio (times) 10

vi. Turnover of assets (times) 1.35

vii. Income before tax/sales (%) 11.9viii. Rate of return on shareholders equity (%) 10.9

8/12/2019 1yrMcomN13-14

4/10

Assignment II

Answer all the questions

Each question carries fivemarksMarks : 15

1. The following are the summarized Balance Sheets of P Ltd., as on 31stMarch, 2012 and2013.

Liabilities2012

Rs.

2013

Rs.Assets

2012

Rs.

2013

Rs.

Share Capital

Gen. ReserveP&L A/c

Mortgage Loan (LT)Sundry Creditors

Provision for Taxation

2,00,000

50,00030,500

70,0001,50,000

30,000

2,50,000

60,00030,600

---1,35,200

35,000

Land & Buildings

MachineryStock

Sundry DebtorsCash

Bank

Goodwill

2,00,000

1,50,0001,00,000

80,000500

---

---

1,90,000

1,69,00074,000

64,200600

8,000

5,000

5,30,500 5,10,800 5,30,500 5,10,800

Additional information:i. During the year ended 31

stMarch, 2013 dividends of Rs. 23,000 were paid.

ii. Assets of another company were purchases for a consideration of Rs. 50,0000 payable inshares. These assets include Stock Rs.20,0000, Machinery Rs.25,000.

iii. Machinery was further purchased for Rs.8,000.iv. Depreciation written off on Machinery Rs.12,000.

v. Income Tax provided during the year Rs.33,000.vi. Loss on sale of machinery Rs.200 was written off to General Reserve.

You are required prepare Funds Flow and Cash Flow Statements.

2. A companys income statement for the preceding year is presented below: Except as

noted, the cost-revenue relationship for the coming year is expected to follow the samepattern as in the preceding year.

Income statement for the year ending 31-03-2012:

Rs.Sales (20,00,000 Units) at 25 paise 5,00,000

_______

Variable Costs 3,00,000

Fixed Costs 1,00,000_______

4,00,000Pre-tax Profit 1,00,000

Income tax 50,000_______

Profit after tax 50,000_______

8/12/2019 1yrMcomN13-14

5/10

You are required to:

i) What is the break-even point in sales and Units ?

ii. Suppose that a plant expansion will add Rs.50,000 to fixed costs and increase

activity by 60% , how many units would have to be sold after the addition, tobreak-even ?

iii. What is the Level of sales, at which the company will be able to maintain itspresent pretax profit position even after expansion?

iv. The management feels that it should earn at least Rs.10,000 (Pre-tax per annum)

on the new investment. What sales value is required to enable the company tomaintain existing profits and earn the minimum required on the new investment ?

3. What approaches have generally been recommended for dealing with the problems ofchanges in the purchasing power of money? Which one is the best? Give reasons.

8/12/2019 1yrMcomN13-14

6/10



M.COM-03: FINANCIAL MANAGEMENT

(2013-14 Batch)


Instructions :


II. All questions carry equal marks1. Key decisions in financial management are a part of an integrated decision

framework. Discuss.

2. (a) Alpha Ltd., has a surplus of Rs.20 lakh available for the next 5 years. At the end of

the period, the firm will need the amount for investing in its business expansion. If the

firm decided to invest the surplus in a scheme that offers a 13 % per annum, how much

would the amount grow to at the end of 5 years.

(b) What do you understand by time value of money? What are the possible reasons that

money must have time value despite not being put to use?

3. ( a) An investor purchased the share of ABC Ltd., at a price of Rs.150 five years back.

During this period the dividends declared by the company and its share prices (closing)

have been as follows:

Year Dividend PerShare (In Rs.)

Share Price(In Rs.)

0 - 150

1 9.00 176

2 12.00 193

3 13.50 218

4 15.00 299

5 18.00 376

Had the investor invested in a savings bank account scheme he would have earned a

return of 5.5%. Was the shareholder compensated for the risk that he undertook by

investing in the stocks?

(b) Pay Early Ltd is planning a major investment to expand its current manufacturing of

digital clocks with initial cash outlay of Rs.350 lakh. The finance department has

8/12/2019 1yrMcomN13-14

7/10

projected a following cash flow over the next 7 years considered to be the life of the

project.

Years 0 1 2 3 4 5 6 7

Cashflows

(Rs.lakhs)

-350 100 150 400 450 300 250 50

(a)What is the IRR of the project?

(b)Calculate the NPV of the project at 12% discount rate.

ASSIGNMENT - II

Instructions :

I.

Answer all the questionsII. All questions carry equal marks

Marks : (3X5=15)

1 (a) Explain any two capital structure theories in detail

(b) A company has a sales of Rs. 25,00,000. The fixed expenses are Rs. 6,00,000 and variable

expenses are Rs. 10,00,000. The company employed a debt of Rs. 8,00,000 @ 12% p.a.

Calculate

(i)

Operating leverage and(ii) Financial leverage from the above information.

2. (a) SEEMERGE Technologies Ltd., consists of the following amounts and specific costs of

each type of capital on its books:

Type of Capital Book Value Market ValueSpecific

Costs (%)

Long Term Debt Rs.4,00,000 Rs.3,80,000 6

Preference Share

Capital

1,00,000 1,10,000 8

Equity 6,00,000 9,00,000 14

Retained Earnings 2,00,000 3,00,000 12

Determine the Weighted Average Cost of Capital using (a) Book-Value weights and (b)

Market Value weights. Also examine the rationale behind the use of weighted average

cost of capital.

8/12/2019 1yrMcomN13-14

8/10

(b) What are the assumptions and arguments used by Modigliani and Miller in support of

the irrelevance of dividends? Are dividends really irrelevant?

3. (a) Discuss various forms of working capital financing available to organizations.

(b) What are Accounts Receivables? Explain the Characteristics, Objectives and

Factors influencing investment in Accounts Receivables.

8/12/2019 1yrMcomN13-14

9/10



M.COM-04: MARKETING MANAGEMENT

(2013-14 Batch)


Answer all thequestions


1.

a) What is marketing? Explain its approaches to understand scope of marketing.b) Discuss the role of marketing in economy development.

2. a) Explain the concept of marketing environment and discuss the factors influencingmarketing environment.

b) Explain the characteristics of services and state the reasons for growth in servicesector.

3. a) What do you mean by market segmentation? Explain the bases and benefits of

marketing segmentation.b) Define consumer behaviour and discuss the various factors influencing consumer

behaviour.

Assignment II

Answer all thequestions


(15 marks)

4. a) How do you classify the products? Describe the stages in new product development.b) Explain the concept of Product Life Cycle and discuss the managerial implications in

marketing PLC.

5. a) Define the term Price and Pricing. Discuss any two methods of pricing methodswith their relative merits and demerits.

b) Explain the concept and significance of marketing channels.

6. a) What do you mean by advertising? Explain the importance of advertising media andpoint out their relative role in promoting consumer products.

b) Explain the importance and steps involved in personal selling process.

8/12/2019 1yrMcomN13-14

10/10



M.COM-05: BUSINESS ENVIRONMENT

(2013-14 Batch)


Answer allthe questions

Each question carries five marks

1)

What is Business Environment? Briefly discuss the business environment as it prevailstoday in India.

2) What do you mean by Business Ethics? What are the ethical dilemmas faced by theBusiness Organisations? How to improve ethical decision making?

3) Describe briefly the methods of Privatization. Which method is preferable for

Privatization of Public Enterprises in India? Why?

ASSIGNMENT II (Marks: 15)

Answer allthe questions

Each question carries five marks

1. What do you know about e-commerce? Is it possible to eliminate all middlemen in the

channel of distribution on account of ONLINE business transactions? Suggest your viewpoints.

2. a) Discuss the importance of Information and Communication Technology (ICT) in

industrial development.

b) Evaluate Indias export promotion efforts. Also list the problems faced by Indiain export sector.

3. a) Profit making is the primary goal of any business enterprise Yes or No Discuss.

b) Discuss the role of FDI in developing countries like India, with special focus on retail

sector.

Documents

1yrMcomN13-14