KENDRIYA VIDYALAYA SURATGARH CANTT. Holidays Homework

CLASS-I ENGLISH

10 times capital letters, 10times small letters. poem.

MATHS

s and write their name also given below- RECTANGLE, SQUARE, CIRCLE, OVAL, STAR, DIAMOND, TRIANGLE

1. , , , 10 2. 5 EVS 1. Write and learn 10 fruits name. 2. 10 vegetables name. 3. 10 Colours name. 4. Make a family tree and paste the pictures of your family members. 5. Paste the pictures of our helpers any 5. Class -II English: 1. 15 page cursive handwriting. 2. 10 Opposites, 10 Genders, 10 Plurals. 3. Make a mask of any animal. 4. Name of Days. 5. Name of Months. 6. Learn any three poems. 7. Read one page of your English book loudly every day. Maths: 1. Counting 1 to 200. 2. Reverse counting 100 to 1. 3. Number names 1 to 50. 4. 20 Additions, 20 Subtractions. 5. Write and learn tables from 1 to 10. 6. Draw any 5 shapes and write their names.

1. 10 2. 3. : 1. , 2. , 3. 4. : , , , 5. ( )

6. 1 EVS: 1. Draw picture: 1. Kutcha House, 2. Pucca House, 3. Multistory Building, 4. Tent, 5. Igloo. 2. Make a family tree. 3. Draw a human body & mention its parts. 4. Write name of animals (Any 20). 5. Write and learn your introduction with home address. 6. Write and learn name of your family members. 7. Watch discovery channel every day. CLASS-III English- (1) Daily watch English news channel. (2) write 20 pages handwriting ( in cursive) (3) Read unit 1 to 3and notedown the difficult words and Q/ A. (4) Learn English poem nad write it also. (5) make a scrap book in which different flowers are to be pasted any 10 (6)Read English newspaper,story book,magazine daily.

(1)15 (2) , , (10-10) (3) 1,2,3 , (4) , 10 MATH- 1. Learn and write tables 2 to 20. 2.Draw top view and side view of any 5 objects. 3.Make any 5 number patterns. 4.Write number names from 250 to 300 5.Write expand form following numbers- (1)749 (2) 620 (3) 123 (4) 1000 (5) 450. EVS- 1.Paste the pictures of different animals and write their names ( AIR,LAND,WATER) 2.Write 10 sentences about peacock. 3. Collect any 10 types of leaves and make any 2 animals with leaves. 4. Learn all the chapters -1,2,3,. 5.Draw and write the name of any 4 water resources. CLASS-IV ENGLISH - Write 10 pages handwriting - Write daily 5 new words in your note book and learn. - Write how you spend your holidays - Write 50 actions words in your note book. HINDI

- I - 15-15 , , I - I - l

- I MATHS

20.

- get up in the morning-6:00 am. maths notebook and textbook, pencil box, drawing.

test and tallest member of your family. And find out the difference between their heights EVS- 1.Paste the pictures of different means of transport and write their names 2.Draw picture of cement bridge . 3. Make a table of like following A. Lay egg give birth to babies B. live in group , live alone 4. Write five sentences about khejadi tree. (Pg no-37) 5.Learn all class works from your notebook. CLASS-V ENGLISH - Write 10 pages handwriting - Make five sentences card. - Write15-15 opposite, gender,synonames,rhymings word. - Cut a picture and write a few line on it . - Write 10 line on my school - Read daily 1 page of your English book loudly HINDI

- I ( 40 ) - 20 I - I - ? l - I - () I EVS -Learn the chapters 1,2,3 . -Draw your tongue and digestive system and label them. -Write name of four poisonous snake and draw their pictures. -Write the process of made monidi tandra. -Make a poster on save water and save earth. -Map work- locate 29 states and their capitals of india. MATHS- -Draw chart of both Indian and international place value system. -Learn tables from 2 to 20 and make a table chart. -Do practice of unit 1 and 2. -Prapere your angle tester. -List out 10 things which depicts angle formation. -Fill page no 1 to 11 and 19 to 22 in work book.

Subject: BIOLOGY

CLASS X

1. Types of reactions on chart.

2. Ray diagram image formed by concave and convex mirror.

3. Diagram of Nephron and Heart chart paper .

4. Collect 10 years paper of CBSE board exams.

5. Solve the 10 years paper of CBSE board of chapter,

chapter: Chemical reaction and equation and Life process.

CLASS-VIII

1. Find out the location of the deposits of iron, aluminium and zinc in India. Mark these in an outline map

of India. In which form are the deposits found?

2. Collect 10 various seeds and write about the nature of the seeds habitat.[file ]

3. Get an outline map of India. Mark the place in the map where coal, petroleum and natural gas are

found. Show the places where petroleum refineries are situated.

CLASS-XII

1. Collect 10 years paper of CBSE 12 board exam.

2. Complete the practical notebook according to split up.

3. Complete investigatory project.

4. Solve 10 years question paper of unit reproduction.

Subject: Hindi

1. ( 3 ) 2. ( 3 ) 3. ( 3 ) 4. ( 2 ) 5. 6. 7. 8.

1. ( 3 ) 2. ( 3 ) 3. ( 3 ) 4. ( 2 ) 5.

6. 7. 8.

1. ( 3 ) 2. ( 3 ) 3. ( 3 ) 4. ( 2 ) 5. 6. 7. 8.

1. ( 3 ) 2. ( 3 ) 3. ( 3 ) 4. ( 2 ) 5. 6. 7. 8.

Subject: SST

PROJECT WORK & Map skills OF CLASSES VI, VIII, IX & X

1. Education: A Vehicle of social change

2. Women in freedom struggle

3. Swachchh Bharat: A mission by the people, for the people & of the people

The following steps to be taken for writing the report of the Project work

1. Data- collection or Survey

2. Analysis of Data- Qualitative and quantitative

3. Reporting (writing)

4. Conclusions/Predictions

5. Acknowledgement

6. Bibliography- mention all references

7. A Certificate in the beginning claiming that the work is orginal- signed by students, Teacher guide

and Principal

Project work should include the following:

Project should be a group work of 2 to 5 students. The compilation of report should be specifically 20 to 25

pages. Project should include photographs, illustration, drawing, graphs etc. The main content of project

should be primary data.

Note: Project work doesnt include the following.

Preparation of charts or models and copying material from text-books are not included in the project.

Copying material from text-books or taking print out from internet, cut paste information from internet

should not be included.

ALL MAP SKILLS WORK OF GEOGRAPHY BOOK

SUBJECT :- MATHS

CLASSES :- VIITH A & B

Do all try these and example of ch - 1 ( Integers ), ch - 2 ( Fractions and Decimals ), ch 3 ( Data

Handling )

Activities ( Roll no. wise ) :- Make a chart / PPT on

1. To show fraction using objects. ( Roll no. 1 6 )

2. To show symmetry in objects. ( 7 12 )

3. To show addition and subtraction of integers on number line . ( 13 18 )

4. To show symmetry in letters. ( 19 24 )

5. To show definition and types of fractions. ( 25 29 )

Activities ( Compulsory ):-

1. To make a magic square box.

2. Make two different bar graph on chart to show height and weight of your family members.

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CLASS :- VIIITH B

Do all examples of ch -1 ( Rational numbers ), ch 2 ( Linear equation in one variable ), ch 3 (

Understanding quadrilaterals )

In exercise Ex- 1.1 questions 2 and 4, Ex- 1.2 complete, Ex- 2.2 complete, Ex- 2.4 complete, Ex- 2.6

complete, In Ex- 3.1 questions 6 and 7, Ex- 3.2 complete, In Ex- 3.3 questions 2, 5 - 10

Activities ( Roll no. wise ) :- Make a chart / PPT on

1. To find rational no. between two given numbers. (a)

Two given rational numbers have same denominators. (b) Two given

rational numbers have different denominators. (c) Two given rational

numbers have no denominators. ( Roll no. 1 5,23 )

2. To find solution of linear equation in one variable with steps. ( 6,7,9,11,12,18 )

3. To verify angle sum property of interior angles and exterior angles of a polygon ( mainly for

triangle and quadrilaterals ) ( 10, 13 17 )

4. Paste all quadrilaterals with their properties. ( 8 - 9, 20 22 )

Activity ( Compulsory ):-

To make a sketch of your study room on a chart paper and find perimeter and area of windows,

floor, door and other objects.

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CLASS :- IXTH

Revise all chapters with examples i.e. ch-1 (Numbers system ), ch-2 ( Polynomials ), ch-3 ( Co-

ordinate geometry ), ch-4 (Linear equation in two variables ), ch-5 ( Introduction to

Euclids geometry)

Activities ( Roll no. wise ) :- Make a chart / PPT on

1. Construct a spiral root. ( Roll no. 1 7 )

2. Visualize the number on number line. ( Roll no. 8 14 )

3. Identities used in chapter -2 with suitable example. ( Roll no. 15 21 )

4. Draw a graph on solution of linear equation in two variables. ( Roll no. 22 28)

5. To write Euclids axioms. ( Roll no. 29 35 )

To write Euclids postulates. ( Roll no. 36 41 )

SUBJECT :- MATHS

CLASSES :- VIITH A & B

Do all try these and example of ch - 1 ( Integers ), ch - 2 ( Fractions and Decimals ), ch 3 ( Data

Handling )

Activities ( Roll no. wise ) :- Make a chart / PPT on

6. To show fraction using objects. ( Roll no. 1 6 )

7. To show symmetry in objects. ( 7 12 )

8. To show addition and subtraction of integers on number line . ( 13 18 )

9. To show symmetry in letters. ( 19 24 )

10. To show definition and types of fractions. ( 25 29 )

Activities ( Compulsory ):-

3. To make a magic square box.

4. Make two different bar graph on chart to show height and weight of your family members.

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CLASS :- VIIITH B

Do all examples of ch -1 ( Rational numbers ), ch 2 ( Linear equation in one variable ), ch 3 (

Understanding quadrilaterals )

In exercise Ex- 1.1 questions 2 and 4, Ex- 1.2 complete, Ex- 2.2 complete, Ex- 2.4 complete, Ex- 2.6

complete, In Ex- 3.1 questions 6 and 7, Ex- 3.2 complete, In Ex- 3.3 questions 2, 5 - 10

Activities ( Roll no. wise ) :- Make a chart / PPT on

5. To find rational no. between two given numbers. (a)

Two given rational numbers have same denominators. (b) Two given

rational numbers have different denominators. (c) Two given rational

numbers have no denominators. ( Roll no. 1 5,23 )

6. To find solution of linear equation in one variable with steps. ( 6,7,9,11,12,18 )

7. To verify angle sum property of interior angles and exterior angles of a polygon ( mainly for

triangle and quadrilaterals ) ( 10, 13 17 )

8. Paste all quadrilaterals with their properties. ( 8 - 9, 20 22 )

Activity ( Compulsory ):-

To make a sketch of your study room on a chart paper and find perimeter and area of windows,

floor, door and other objects.

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CLASS :- IXTH

Revise all chapters with examples i.e. ch-1 (Numbers system ), ch-2 ( Polynomials ), ch-3 ( Co-

ordinate geometry ), ch-4 (Linear equation in two variables ), ch-5 ( Introduction to

Euclids geometry)

Activities ( Roll no. wise ) :- Make a chart / PPT on

6. Construct a spiral root. ( Roll no. 1 7 )

7. Visualize the number on number line. ( Roll no. 8 14 )

8. Identities used in chapter -2 with suitable example. ( Roll no. 15 21 )

9. Draw a graph on solution of linear equation in two variables. ( Roll no. 22 28)

10. To write Euclids axioms. ( Roll no. 29 35 )

11. To write Euclids postulates. ( Roll no. 36 41 )

Subject : Mathematics

Class : VI A & VI B

Do any two from first four activities. 5 is complulsory.

1. Write all the Roman Numerals 1 to 100 on a chartpaper.

2. Draw Indian and International Place Value charts showing till Millions and Crores.

3. Draw ten different geometrical shapes or figures and write their names on a Chart paper.

4. Draw / Paste picture of a famous Mathematician and write an article on him / her on an A4 size

sheet.

5. Solve ten problems from any book based on Distributive Property of Whole numbers .

Subject : Mathematics

Class : VIII A

1. Finding a Rational number between two given rational numbers. Mention all the steps properly.

Also represent it on a number line.

2. Write all the steps of solving a linear equation in one variable.

3. Draw different types of quadrilaterals and name them.

4. Write all the properties of quadrilaterals.

5. Solve all the TRY THESE questions in a note book.

Subject : Mathematics

Class : X

1. Geometrical Representation of all the three cases of the zeroes of a polynomial.

2. Graphical solution of a Pair of linear equations in two variables.

3. Represent the algebraic and graphic conditions for Consistency / Solvability of a pair of linear

equations in the following tabular form.

4. Geometrical representation of solution of a quadratic equation by completing the square: x2 + 4x

5. Solve the optional exercises of all the four chapters.

CLASS XII

1. To solve the questions related to inverse of matrix.

2. Revise the concept of binary operation.

3. Geometrical representation of all types of function.

4. Solve the miscellaneous exercises of all three chapters.

5. Some value based questions related to these chapters.

Subject: Science

Class 7th A &B

Task-1

Frame 5 questions from chapter 1 to 4(each) and write their answers.

Task-2

Draw labeled diagram of followings:-

(a) Human digestive system

(b) Digestive system of cow

(c) Both clinical and Laboratory thermometer

(d) CLASS-VIII

(e) 1. Find out the location of the deposits of iron, aluminium and zinc in India. Mark these in an

outline map of India. In which form are the deposits found?

(f) 2. Collect 10 various seeds and write about the nature of the seeds habitat.[file ]

(g) 3. Get an outline map of India. Mark the place in the map where coal, petroleum and natural gas

are found. Show the places where petroleum refineries are situated.

CLASS VI

1. Prepare a chart of food items include with their nutritions.

2. Collect different type of fabrics , paste them and identify their sources.

3. Write and learn key words of lessons : Food, components of food , fibre to fabric.

4. Draw diagrams of above three chapters.

5. To read chapter 4.

Subject: SANSKRIT & HINDI

CLASS VI, VII & VIII (2018-19)

S.N0 CLASS HOLIDAY HOME WORK

1 VI | , | : | : |

2 VII | | : | : |

3 VIII | | : | : |

4 VI B 10 | 10 | 10 | 200

(1) (2) 5 VII B

10 | 10 | 10 | 200 (2)

SUBJECT: ENGLISH

CLASS VII B

1. Practice of four notices

(a) watch lost (b) Tiffin box found (c) Annual Day celebration (d) Annual sports day celebration

2. write paragraphs (100 words)

a ) Importance of Yoga

b )Value of healthy food

C )Reading habits

D )Save water

E ) Say no to plastic bags

3. learn chapters and poems covered under split up syllabus upto month of June 2018.

4. Practice of Two messages .

CLASS VIII A & B SUBJECT: ENGLISH

1. Practice of four notices

2. Practice of four messages

3. Practice and solve four unseen passages

4. write and learn 50 verbs with their three forms

5. write four short stories with title and moral (100 words)

6. learn chapters and poems covered under split up syllabus up to month of June 2018.

CLASS XIIA & B SUBJECT: ENGLISH

1 Prepare Notes : note making ( 5 Passages)

2 Article Writing practice 05

3 Reading Novel Invisible Man

4 Prepare chapters from Flamingo : first four, first three poems

5 Notice writing 05

6 Advertisement practice 05

7 Novel character sketch writing

Griffin, marvel, Mrs Hall , Mr Hall, Dr Kemp

SUBJECT-Chemistry

TASK FOR HOLIDAY HOME WORK

CLASS--- XII

Do 20 numerical from chapter 1 to 4

(a) Solid State- 20 Numerical

(b) Solution - 20 Numerical

(c) Electro Chemistry - 20 Numerical

(d) Chemical Kinetics -20 Numerical

Accounts and Business Studies

CLASS XII XOM

CHAPTER- FINANCIAL MARKET

1. What do you mean by financial market? What are the functions of financial market?

2. Classify the financial market and explain the instruments of money market.

3. What do you mean by primary market? What are the methods of floatation of securities in

primary market?

4. What do you mean by stock exchange? Explain the trading procedure on a stock exchange.

5. Explain the functions of SEBI?

6. Write short note on following:

(i) Depository

(ii) Depository Participants

(iii) Demat Account

(iv) Demutualization

(v) Dematerialisation

CHAPTER- NATURE AND SIGNIFICANCE

1. What do you mean by management? What are the features of management?

2. Briefly explain the objectives of management.

3. Write short on whether the management is an Art or Science.

4. Explain the functions of managers working at different levels of management?

5. What do you mean by coordination? State the features and importance of coordination.

CHAPTER-PRINCIPLES OF MANAGEMENT

1. Explain the principles of management developed by Henry Fayol with suitable example.

2. What do you mean by scientific management? Explain the principles of scientific management.

3. Explain the following techniques of scientific management:

(i) Standardisation of work

(ii) Differential Piece wage system.

ACCOUNTING FOR PARTNERSHIP FIRM

CHAPTER-1

1. What do you mean by partnership deed? What are the contents of partnership deed?

2. Describe the rules applicable in the absence of partnership deed.

3. Distinguish between charge against profit and appropriation of profit.

4. Unsolved questions: 4,6,8,11,14,16,18,19, 23, 25A, 28, 32, 33, 42, 44,

45,46,48,56,57,58,64,65,68,69,70.

CHAPTER-2

Unsolved Question: Question 4, 6, 17,18,27,28,33,34,36, Illustration 8.

CHAPTER-3

Unsolved Question: 1A, 2B, 3, 4B, 6, 7, 10, 11,15A, 16A, 17, 22, 34, 36.58, 62, 64A, 72, 80A, 70.

CHAPTER-4

Unsolved Question: 9,12,13,31A, 34,38,42,50.

SUBJECT :- ECONOMICS

CLASSES :-XII COMMERCE

PRACTICE AND REVISION OF THE FOLLOWING CONTENTS

Micro Economics ; INTRODUCTION(CHAPTER -1)

1. What is Economics ;-Economics is a subject in which economic activities of the people are studied.

Economic activities refer s to those activities which involve the use of scarce resources for the satisfaction

of human wants directly or indirectly. Economics thus studies problem related to scarcity of resources.

2. Microeconomics and macroeconomics;-The subject matter of microeconomics is to study the behaviour

of individual decision making unit such as consumer and firms and producers. It is basically concerned with

the determination of price of goods and services.

3. Macroeconomics studies economic activities related to the economy as a whole. It is primarily

concerned with the determination of national income and the general price level.

4. Resources; resources refer to factors of production which help in the production of goods and services.

Examples; land labour capital and entrepreneur. Resources are scarce in view of their requirement.

5. Economy ; refer to the economic activity of a particular area or region

6. Central problem of an economy; Every economy faces some economic problem such as what to produce

,how to produce and for whom to produce These are called central problem.

What to produce; it mean selection of goods and services and their quantities to be produced.

How to produce ;it relate to problem of choice of technique of production of goods and services

For whom to produce ;-it refer to problem distribution of income and wealth.

7. Causes of central problem (1)wants are unlimited They are also different in priority .(2)resources are

scarce and (3)resources have alternative uses

8 .Oppurtunity cost; it refer to the value of a factor in its next best alternative use. Opportunity cost is

hence opportunity lost.

9. Production possibility curve; it refer to different combination of two goods that can be produced from a

given amount of resources PPC is based on the assumption that resources are fully and efficiently utilised

and (2) technique of production remain unchanged.

If resources are not fully and efficiently utilized ,total output in the economy will be less than the potential

output. Slope of PPC indicate the ease or difficulty in transforming one good into another good. So it is

known as transformation curve.

10. Shape of PPC (1)PPC is downward sloping implying that if an economy wants to produce more of one

good it has to forgo some output of other good. (2)PPC is concave to the origin . Concave shape of PPC

mean that MRT increases. Slope of PPC increases are not equally efficient in the production of both the

commodity.

11. Attainable and unattainable combination of output ;All the point that lie on or inside PPC are

attainable Point lying outside the PPC are unattainable combination of output.

12 .Marginal opportunity cost.; MOC is the rate of sacrifice at which production of one good can be

expanded.

13.Change or shift in PPC .;Shift in PPC indicate either an increase or decrease in production capacity of an

economy PPC shift outside due to technological progress or increase in supply of resources or both

available to an economy. It shift inward when there is technological degradation or decrease in resources

or both.

Consumer equilibrium

1 .Who is a consumer; consumer is a person who takes decision about what to consume and how much to

consume for the satisfaction of his wants.

2 .Consumers equilibrium; a consumer is said to be in equilibrium when he spend his given income such a

way that give him maximum satisfaction.

3 .Approach to consumer equilibrium; there are two approach for analysing consumer behaviour 1. Utility

approach and indifference curve approach.

4 .Ulility approach; this approach was given by Marshall According to this approach utility is cardinal that

is measured in number. Economist call it util. Utility is also cardinally measured in terms of money or say

price the consumer is willing to pay.

5 .There are two concept of utility (1) total utility and (2) marginal utility. TU; is the sum of utility that a

consumer obtain from the consumption of certain amount of commodity.MU it is the addition to total

utility when extra unit of commodity is consumed

6. Law of diminishing marginal utility; The law of DMU state that as more and more unit of a commodity

are consumed ,marginal utility of the commodity falls. It is a psychological law of consumption .Utility from

additional unit decline because the intensity of want decline.

7. Consumers equilibrium;(single commodity case. ) consumer is in equilibrium at that level of

consumption where marginal utility become equal to the price paid. That is MU=P. Since price is paid in

money ,MU is measured in money MU in money term can be measured by dividing MU of the commodity

by MU of money. MUx/MUm=Px Marginal utility must fall as consumption increases.

8.Under two commodity case; this approach was given by Hicks. According to this approach utility is

ordinal.That is utility can not be measured in

cardinal number such as 1,2,3,4, etc. I t can only be measured in ordinal number such as 1st, 2nd,3rd,4th

5th,etc. That is consumer can only rank his preferences .

9 .INDIFFERENCE CURVE ;it show different combination of two goods that provides the same level of

satisfaction to the consumer. The consumer preferences can be represented by family of indifference

curve known as indifferences maps Each curve represent different level of satisfaction.

10.Properties of indifference curve; an indifference curve always slopes downwards. 2.IC is convex to the

origin .3.higher IC represent higher level of satisfaction.

11.Marginal rate of substitution; MRS is the amount of good y that a consumer is willing to give up to

consume an additional unit of good x while keeping total utility unchanged. MRS=change in y/change in x.

12. Monotonic preferences; a consumer prefer more good to less good . Preference of this kind is known

as monotonic preferences.

13 Convex preferences; a consumer prefers all combination on his indifference curve equally. But when he

moves along IC . he substitute one good for the other at a diminishing rate. Preference of this kind is called

convex preferences.

14 .Budget line or budget set. ;Budget line show different possible combination of two goods which a

consumer can buy with his given income and price of the goods The consumer cannot afford to buy any

combination of two goods that lie outside his budget line. All combination that lie on or below the budget

line constitute the budget set.

15 .Properties of budget line; Budget line is downward sloping. Its slope is measured by the ratio of prices

of two goods..The price ratio is a measure of rate at which the consumer is able to substitute good x for

good y. The consumer can substitute good x for good y at the px/py.

The slope of the budget line constant as marker rate of exchange between the two good remain the same.

16. Market rate of exchange; I t is the rate at which the market require the sacrifice of one good to obtain

one extra unit of the another good.

17..Condition of equilibrium (IC APPROACH)Budget line should be tangent to the indifference curve. That is

MRS=PX/PY.

DEMAND

1 .Demand means the quantity of commodity that a consumer is willing to buy at a particular price during

a particular time period .It always implies desired quantity not actual demand.

2 .Demand function; The relation between consumers optimum choice and of the quantity of a good and

the determinant of demand. Is called demand function.

3. Individual demand and market demand;- Individual demand means quantity demanded of a good by

individual consumer at various price level. Market demand refer to total demand by all the consumer in

the market at different prices .Market demand curve is obtained by taking horizontal summation o

individual demand curve.

4 Determinant of demand;

Individual demand is determined by the following factors ; A .price of the commodity .B .price of related

goods. C. Income of the consumers D. taste and preference of the consumers.

A .When income rises demand for normal goods increases and demand for inferior good decreases.

B When price rises, demand for a good generally falls

C. When prise of a substitute goods falls the demand for the given good falls.

D. When price of complementary goods falls the demand for the given good rises.

E. Demand for a good also changes with change in taste and preferences of the consumer.

Besides these determinants, market demand also depends on the following factors.1. Population 2.

Distribution of income. 3. Season and weather.

5. Related goods and unrelated goods ; when demand for a good changes in response to change in the

price of other goods are said to be related. And when change in price of one good does not affect the

demand of other good goods are called unrelated .Related goods are of two types.1. substitute goods 2.

Complementary goods. 1. Substitute goods are those goods which can be used in place of each other with

equal satisfaction. Examples Pepsi and Coca- cola, tea and coffee.etc Complementary goods refer to

those goods which are used together to satisfy a particular want .Example are tea and sugar and milk

bread and butter.

6 .Normal goods inferior goods and Giffen goods . Normal goods are those goods whose demand rises with

increase in demand, decreases with fall in income of their buyer other thing remaining the same. Inferior

goods are those goods whose demand fall with rise in income and rise with fall in income of their buyer

.Other things being the same. Giffen goods are those goods which are most inferior, in case of such goods

income effect is negative and price effect is positive. So law of demand do not operate in this case.

7. Law of demand ;The law of demand state that other things being constant quantity demanded of a

commodity rises with fall in price and falls when price rises. Assumptions of the law;(1)taste and

preferences of the consumer should remain the same(2)income of the consumer remain the same. (3)No

change in price of related goods .(4)No expectation of further change in price of the commodity in near

future.

Causes of operation of law -1.law of diminishing marginal utility. 2. Income effect. 3.substitution effects

Exception; the law do not operate in case of 1.giffen goods 2. Goods of distinction 3.urgent demand.

8.Demand scheduled and demand curve.; demand scheduled is a table that show different quantity of

commodity that its buyer are willing to buy at different price at a point of time. Demand curve is a graphic

presentation of demand schedule.

9. Change in demand and change in quantity demanded; change in quantity demanded refer to increase

and decrease in quantity demanded of a commodity in response to decrease or increase in price other

thing remaining the same. Graphically it means movement along the demand curve. Change in demand

,on the other hand refer to increase or decrease in quantity demanded of a commodity in response to

change in other determinants of demand, other than price of commodity own price. It is expressed

through shift in demand curve (rightward or leftward.)

10. Expansion or contraction of demand; expansion of demand refer to rise in demand due to fall in the

prise of a commodity ,other things remaining the same. A downward movement along the demand curve

show expansion in demand. Contraction of demand refer to fall in demand due to rise in the price of a

commodity, other things, remaining the same. An upward movement show contraction in demand.

11. Causes of increase in demand; increase in demand means more demand at a given price. It may be

caused by any of the following factor; 1.increase in the income of the consumer. 2. Rise in the price of

substitute goods .3. fall in the price of complementary goods.4. change in the consumers taste in favour of

the good.

12. Causes of decrease in demand ; decrease in demand refer to less demand at given price. The causes of

decrease in demand are; 1.decrease in income of the consumer .2.fall in the prices of substitute goods

3.rise in the prise of complementary goods.4. unfavourable change in consumers taste towards the goods.

13. Income effect; income effect means change in quantity demanded of a commodity when real income

of the consumer changes as a result of change in the price of that particular commodity.

14. Substitution effect; it refer to change in quantity demanded of a commodity when relative price of the

commodity changes due to change in its price.. It implies that one commodity has become relatively

cheaper or costlier as compared to other substitute commodity.

15.Price effect; it refer to change in quantity demanded of a commodity due to change in its price.

ELASTICITY OF DEMAND

1. Price elasticity of demand; (ep); price elasticity of demand measures the responsiveness of demand of a

commodity to change in its price. It measures the percentage change in demand as per one percentage

change in price. It is independent of unit of measurement. It is popularly known as elasticity of demand.

2. Degree of elasticity of demand.;

A. When the demand for a good does not changes as a result of change in its price, the value of ep is zero.

Demand cure will be a straight line parallel to the y-axis.

B .When the demand for the good rises or fall without any change in its price, demand for the good is said

to be perfectly elastic. The value of ep is infinity. Demand curve in such case will be a horizontal line

parallel to the x-axis.

C .When change in the price of a good leads to less than proportionate change in demand ,demand is said

to be less elastic The value of ep 1.Demand curve in case of highly elastic demand is flatter and its slope

is inclined towards x-axis.

E. When percentage change in demand and percentage change in price are equal for a good, its demand is

said to be unitary elastic. The value of ep=1. In such a case demand curve ,is rectangular hyperbola.

3. Method of measurement ; there are three method of measurement of price elasticity of demand.(i)

percentage method (ii)total expenditure method (iii) geometric method.

Percentage method; ep=percentage change in quantity demanded/percentage change in price.

Total expenditure method; in this method ,price elasticity is measured by comparing total expenditure on

the commodity before or after the change in price. This method three possibilities.(i) if the total

expenditure varies inversely with the change in price , the demand is relatively elastic .

(ii) If the total expenditure on the commodity remain the same as before and after change in price, then

demand is said to be unitary elastic. (iii) if the total expenditure on the commodity increases with an

increase in its price and decreases with decrease in its price ,then the demand is said to be relative in-

elastic ep1 and at any point below

the middle point elasticity is

elasticity. (iii)Postponement of uses. (iv) Number of uses ; more the uses higher will be the elasticity..

(V)Proportion of income spent ; more the proportion of income spent higher will be the elasticity.(vi) price

level ;higher the price level more will be the elasticity.(vii) time period- longer the time period more the

elasticity.

PRODUCTION FUNCTION; /RETURN TO A FACTOR.

1. Production;- ;Production means transformation of inputs into output of goods.

2. Production function ;- it is an expression which states quantitative relation between change in inputs

and the resulting change in output of a goods. It is a purely a technical relation. QX=F(FI+F2+F3) Production

function include only technically efficient combination of input so that maximum output is obtained from a

given quantity of inputs.

3.Short and long run; short refers to a time period in which output can be increased only by increasing the

quantity of variable factors .However output can be increased only to the extent of production capacity of

fixed factors. In the short run some factor are fixed, while other are variable .

Long run refers to a time period in which output can be changed by changing all factors of production. In

the long run all factors are variable. Time period is long enough for the firm to effect change in input

according to changing condition.

4. Types of production function; (1) short run production function; It states quantitative relation between

input and output when only one input is variable and other inputs used are kept constant. In the SR some

factor are fixed. To simplify suppose there are only two factor labour (which are variable)and capital which

are fixed factor. Production function will be= QX=F(L,K).

Long run production function; states quantitative relation between inputs and output of a good when all

factors are variable and are changed simultaneously in the same proportion.

5. Fixed and variable factors; fixed factors are those factors used in production which do not change with

change in output of goods.(e.g. machines and building.) .Variable factors are on the other hand refer to

those factor used in production which changes with change in output. For example labour.

6. Concepts of production (i) Total product; it refer to the total output of goods produced by all the units

of the variable factors used in production with given amount of fixed factors. It is called total physical

product of the variable input. It is equal to sum of MPP. (ii) Average Product ; it is the amount of output

produced per unit of the variable input..It is calculated as; AP=TP/L. (III) Marginal output; MP is defined as

the change in the total product resulting from the employment of an additional unit of variable factor.

7. Return to a factor; Return to a factor mean change in the physical output of a good when only the

quantity of one variable factor is increased, keeping other input constant These are measured as addition

to total product when quantity of variable is increased. The behaviour of change in output is shown by the

law of variable proportion.

8. Law of variable proportion; the law of variable proportion states that as we increases the quantity of

variable input keeping all other input fixed in the beginning, the total product increases at increasing rate ,

then increases at decreasing rate and ultimately it start falling. According to the law , the change in TP and

MP are classified into three phases. ;Phase (i) TP increases at increasing rate, . MP. increases .(this phase is

known as increasing return to a factor) Phase (ii) TP increases at decreasing rate .MP deceases this phase is

known as diminishing return to a factor. Phase (iii) TP falls

MP become negative, this phase is known as negative return to a factor.. A profit maximising firm will

never employ an input at a level that its MP is negative.

9. Return to scale ; are measured as addition to TP when the quantity of all factor are increased in same

ratio.

10 .Causes of increasing return to a factor;

(i)Better utilization of fixed factor.

(ii) Division of labour increases the efficiency of the variable factors.

(iii) Better coordination between factors.

11. Causes of diminishing return to a factor.

(i) Inadequacy of the fixed factor relative to the quantity of variable factor.

(ii)Factors of production are imperfect substitutes of each other.

12. Causes of negative return to a factor.

(i ) Over crowding on the fixed factors.

(ii) Problem of management of workers.

13.Relation between TP and MP

(i)When TP rises at increasing rate MP RISES

(ii )When TP increases at decreasing rate MP falls , but remain positive.

(iii) When TP falls , MP falls but is negative.

14. Relation between AP and MP

(i) when MP>AP, AP rises.

(ii)when MP=AP, AP is constant.

(iii). When MP

TC is the sum of TFC and TVC. Since TFC remains constant at all level s of output. TC always exceed TVC

by the amount of TFC. Change in TC is entirely due to change in TVC. so as output increases TC increases by

the extent of increase in TVC.

7 .Average Cost ; There are three types of average costs in the short run.; average fixed cost ,average

variable cost and average total cost.(I) AFC ;it is the fixed cost per unit of output. As output increases AFC

falls because TFC is constant. AFC can never be zero. AFC curve is rectangular hyperbola. (ii) AVC ; it is the

variable cost per unit of output. As output increases AVC initially falls and then after a certain level of

output rises. This shape of AVC is governed by the law of variable proportion. (iii) ATC It is the total cost

per unit of output . As output increases initially ATC falls and then after a certain level of output start

rising. ATC is a vertical summation of AFC and AVC curves. ATC curve are U shaped. It is because of law

of variable proportion.

8 . Relation between ATC and AVC

As output increases, AFC must fall continuously. , Consequently AFC component of ATC goes on

declining. AVC component of ATC become larger as output is increased. Therefore, as output increases,

AVC come closer to ATC but never meet each other. The minimum point of the ATC curve lies to the right

of minimum point of the AVC

9 .Marginal Cost; it is the addition to the total cost of producing one more unit of output. The

sum of MCS equal the TVC. The MC curve cuts the AVC curve and ATC curve at their minimum point.

10 .Relation between MC and AC

(I) If MC is lower than AC , then AC falls.

(ii)If MC is equal to AC then AC is constant.

(III) If MC is greater than AC , then AC rises.

11. Concept of revenue;- Revenue means market value of output or money received by a firm from sale of

output of a good. There are three concept of costs;(i) Total revenue; it refer to total money received from

sale of output by a firm . It equals quantity of output sold multiplied by the market price. That is TR= Q X P.

(Ii) Average revenue; It refer to the revenue per unit of output sold. It equals TR divided by total output

sold. (iii) Marginal revenue; It is addition to total revenue from sale of an extra unit of output.

12. Profit; It is the difference between total cost of production and total revenue It is the income of

producer.

13. Relation between Output and revenue .

(a)When more sales are possible only at a lower prise.

(i) As price ( AR) decline MR also decline and remain below AR and TR rises.

(ii) When prise falls, MR become negative after a certain level of output and then, TR starts falling.

(iii ) When MR is zero TR become maximum.

(b) When more sale are possible at a given price.

(i) TR rises at a constant rate as price is constant.

(ii) AR (price ) is unchanged as output changes . AR curve is parallel to x- axis.

(iii) As output increases, there is no change in MR . MR equals AR at all level of output.

14. General relation between AR and MR.

(I)When MR.> AR, AR rises.

(ii) When MR= AR, AR is constant

(iii) When MR

2. Producers equilibrium; A producer is said to be in equilibrium when he produces an output level at

which his profit is maximum. Profit are maximum at that level of output where the difference between

total revenue and total cost is maximum. If there are losses, they are minimum in the state of

equilibrium. Thus in the state of equilibrium producer either earn maximum profit or incur minimum

losses.

3. Assumptions of producers equilibrium;

(i) Producer is rational. (ii) Producer employs least cost combination of input.

(iii) Only one product is produced. (iv) The supply of factors is perfectly elastic at current rate.

4. Equilibrium Condition:- There are two method to determine producers equilibrium

(i) TR-TC Approach:-A producer will be in equilibrium at that level of output where the difference between

TR-TC is maximum . If profit (TR- TC ) is maximum at more than one output level, the output level beyond

which profits starts declining is the equilibrium output

(ii). MR-MC Approach: Usually in microeconomics MR-MC Approach is used to determine the position of

producers equilibrium. The two conditions of producers equilibrium according to this approach are:

(MC=MR , and (ii) MC>MR after the MC=MR output.

5. Producers Equilibrium, when price falls as output increases: when more output can be sold only by

lowering the price then price(or AR) > MR. Because MC equals MR at equilibrium point, P(AR)>MR=MC at

equilibrium level of output.

6. Producers Equilibrium when price remain s constant: When price remain constant at all levels of output

then price (or AR) = MR . Since MC=MR at equilibrium point, price is equal to MC at equilibrium level of

output. That is, P=MC.

7. Normal profit and super normal profit: Normal profits are the minimum profit which a producer must

earn to stay in business. Otherwise he will shift to next best occupation. Thus , normal profit is the

opportunity cost of entrepreneur ship which is a part of total cost. Profits over and above the normal

profit are called super normal profit.

8. Short run equilibrium: In the short run neither new firm can enter the industry nor the existing firms can

leave the industry .This is because that time period required to enter or leave the industry is short.

Accordingly, the number of firms in the industry is fixed in the short period. In the short run,a firm may be

in equilibrium in the situation of super normal profit, super normal profit or losses .

( 9) . Long run equilibrium: In the long run, firms will only be earning normal profits. In a situation of super

normal profit (or super normal profit) firm will join the industry and consequently, market supply will

increase which will reduce the market price

The process of entry of new firms would continue till super normal profit is wiped out. In the situation of

losses, the existing firm start leaving the industry. As a result, market supply will fall leading to rise in price.

This process would continue till price rises to ensure normal profit.

10 .Break- even point: A firm break even when TR equals TC or AR equals AC. At this point, firm is earning

zero profit. That is the difference between RR and TC is zero at break- even point. The firm is just able to

cover all its cost and earns only normal profit.

11. Shut down point: A firm in the short run can bear losses. But there is a limit to bear this loss. Price

must at least cover the AVC. Here the firm incurs losses to the extent of TFC. When price is just covering

the AVC , it is called a shut down point . Firm will close down its business if price fall below the AVC. Thus

P=minimum AVC s is the shut down point in the short run . In the long run all cost are variable . So price

must cover at least the average cost Thus p=minimum LAC , is the shut down point.

Theory of supply

1 .Supply: Supply refers to the quantity of commodity which a producer is willing to bring to the market at

a particular price during a period of time. Price, quantity, period of time, and willingness to supply are the

four essentials of supply

2 .Supply and Stock : Supply is the desired quantity of sale at a given price and stock means actual supply

of a commodity which can be brought to the market for sale, at short notice.

3. Individual supply and market supply: Individual supply refers to supply of a commodity by an individual

firm in the market. Market supply refers to supply of a commodity by all the firms in the market.

4. Factors determining Supply: (1) price of the commodity (2) price of input,(3) prices of other commodity,

(4) state of technology,(5)number of firms ,(6) goal of the firms, (7)government policy.

5 Law of Supply; The law of supply states that quantity supplied of a good usually varies directly with its

price, assuming that all other factors determining supply remains the same. The law of supply , when

expressed in term of a curve ,means that the supply curve of a good is generally upward sloping.

6. Change in quantity supplied and change in supply: Change in quantity supplied of a good refers to

change in supply due to change in products own price. When supply of a good rises due to rise in price, it is

called expansion in supply and when supply falls due to fall in price, it is called contraction of supply.

Graphically, it implies movement along the supply curve. Change in supply of a good refers to the change

in supply due to factors other than products own price. If supply rises ,it is called increase in supply and

when it fall it is called decrease in supply Graphically change in supply is called shift of supply curve.

7 .Causes of increase in Supply: (i) improvement in technology, (ii) fall in the price of input, (iii) fall in the

price of other goods, (iv) lowering of tax on production, (v) expectation of fall in price in future.8. Causes of

decrease in supply: (i) use of outdated technology, (ii) increase in price of inputs, (iii) rise in the price of

other goods, (iv) higher tax on production, (v) expectation of rise in prise in future .

9. Meaning of elasticity of Supply: price elasticity of supply is a measure of degree of responsiveness of

change in supply of a good to change in its price. It measures the percentage change in quantity supplied

due to one percentage change in the price of that good.

10 Types of price elasticity of supply: On the basis of degree of responsiveness of the quantity supplied to

the price change, there are five types of elasticity of supply.

(i) When percentage change in quantity supplied is greater than the percentage change in price supply is

said to be elastic. In such a case es > 1.

(ii) When percentage change in quantity supplied is less than the percentage change in price, then supply

of such a commodity is called less elastic. In such a case, the value of elasticity is

1. Market: Market is a mechanism or an arrangement by which buyers and sellers of a commodity are

brought in close contact for the sale and purchase of the commodity. Producers and consumers carry out

their transactions for sale and purchase through the market.

2. Forms of market: There are four main forms of market; (i) perfect completion, (ii) monopoly, (iii)

monopolistic competition and (iv )oligopoly.

3. Perfect competition: perfect competition refers to a market situation where there are very large

number of buyers and sellers, selling homogeneous products at a market price. In a perfectly

Competitive market seller sells a homogeneous product at a uniform price. The price is not determined by

particular firm but by the industry (i e the buyers and sellers collectively).

Features

(i)The number of sellers and buyers is very large. It is so large that no individual buyer or seller can

influence the market price of the commodity.

Implication: No individual seller or buyer can influence the market price. Buyers and seller of the

product are just price takers. A competitive firm faces a perfectly elastic demand curve. Also buyers

have no bargaining power in the market.

(ii)All sellers (firms) sell homogeneous products. Product sold in the market are identical in all

respect.

Implication; this insures uniform price in the market.

(iii) The entry or exit of firms in the long run is free.

Implication; This feature ensure that firm earn only normal profit in the long run.

(iv) Buyers and sellers have perfect knowledge about the market.

Implication; Uniform price will prevail in the market.

(v) Factors of production are perfectly mobile.

(vi) Transport costs are zero.

Implication; transport cost do not affect market price.

4. Monopoly; monopoly is a market situation in which in which there is only one firm producing a

commodity. The commodity has no close substitute in the market. Railway is an example of

monopoly. The market price of the commodity depends on the quantity supplied by the monopoly

firm.

Features of monopoly.

There is only one seller of a product in the market who has full control over the supply and price of

the product.

Implication: firm is a price maker, it usually exploit the buyer by charging a high price of its

product.

.(ii) There are no close substitute of the product in the market.

Implication; Buyer have to purchase the commodity from the monopolist or go without it.

(iii) There are barrier to the entry of the new firm

Implications: Firm earn abnormal profit in the long run.

(iv) Firm has full control over price.

Implication: Firm is price maker.

Way of monopoly formation; there are several ways of monopoly formation .These include (a)licensing

(b)patent rights (c) formation of cartel.

5. Monopolistic Competition: Monopolistic market is a market situation in which there is competition in

the market along with some monopoly element. Products of different firms are not homogeneous but

differentiated.

Features

(i).There is a large number of buyer and sellers.

Implication: No individual seller can influence the market price, in a big way.

(ii) Production sold by different sellers are differentiated on account of different brand names, packing

colour, shape, customer services.

Implications; This feature makes monopolistic market different than perfect market. Firms are price

maker.

(iii) Firms are free to enter or leave the industry.

Implication; All firms earn only normal profit in the long run.

( iv) Buyers and sellers do not have complete knowledge about the market.

Implication; products sell at different prices in the market.

(v) Firm spend a lot of money to promote their sales.

Implication: Market demand of the product rises. Selling costs also tend to raise the costs.

6. Oligopoly: meaning: oligopoly is a market form characterised by a small number of large firms which are

mutually dependent on each other for taking price and output decision.

Classification: (i) perfect and imperfect oligopoly; If the firm produces homogeneous product, it is called

perfect oligopoly. Steel industry is an example. If the firm produces differentiated products, it is called

imperfect (differentiated) oligopoly. Automobile industry is an example.

Non-collusive and collusive oligopoly: If the firm compete with each other, it is called non collusive

industry. If the cooperate with each other rather than compete in setting the price and output, it is called

collusive oligopoly.

Features (i) Oligopoly is composed of few large firms. Implication: Action of each firm not only influence

itself but also other firm are affected by it. (ii) There is high degree interdependence among the firms.

Implication: This feature makes oligopoly different from other of market. Demand curve of the firm is

indeterminate. (iii) There are barrier to the entry of the firms. Implication: Due to entry barrier, the

number of firms in the industry remains small or limited.(iv) There exists non- price competition. Firm

normally are afraid of price-competition which may lead to price war. Product differentiation and

advertisement are two main forms of non price competition. Implication: Prices remain rigid in the

market. (V) Imperfect knowledge: Buyers and sellers do not have perfect knowledge about the market of

the product. Due to large amount of selling costs, consumers begin to know about some brands than

others .

Market Equilibrium

1. Market Equilibrium: Under perfect competition, market of a product is in equilibrium when market

demand and market supply are equal. Each firm is a price taker and industry is a price maker. Decision of

buyers and sellers are coordinated through price known as price-mechanism.

2. Equilibrium price: Is the price at which quantity demanded and of a product is equal to its quantity

supplied.

3. Equilibrium quantity: It refers to the quantity demanded and quantity supplied at equilibrium price.

4. Excess demand; It is situation in which quantity demanded is more than quantity supplied at the price

prevailing in the market. It leads to competition among the buyers. In the situation of excess demand,

price continues to rise till excess demand is wiped out.

5. Excess supply; It refers to the situation in which quantity supplied is more than quantity demanded at

the price prevailing in the market. It leads to competition among the sellers . The price continues to fall till

excess supply is wiped out.

6. Effect of change in demand on equilibrium price and quantity: Supply remaining unchanged, an increase

in demand raises the equilibrium price and equilibrium quantity

A decrease in demand, on the other hand, leads to fall in both equilibrium price and quantity.

7. Effect of change in supply on equilibrium price and quantity: Demand remaining unchanged, when there

is increase in supply, equilibrium price falls and equilibrium quantity rises. On the other hand decrease in

supply leads to rise in equilibrium price and fall in equilibrium quantity.

8. Effect of change in ( both) demand and supply in same direction: (i) When increase in demand and

increase in supply are equal, equilibrium price remain the same, but equilibrium quantity rises.( ii) When

increase in demand is more than increase in supply, equilibrium price and quantity both rises.(iii) When

increase in demand is less than increase in supply, equilibrium price fall and equilibrium quantity rises. (iv)

When decrease in demand is more than decrease in supply, equilibrium price and equilibrium quantity

both fall. (v) When decrease in demand is less than decrease in supply, equilibrium price rises but

equilibrium quantity falls

9. Effect of change in demand and supply in reverse direction: (i) When increase in demand and decrease

in supply are equal, equilibrium price rises but equilibrium quantity remains the same. (ii) When increase

in demand is more than decrease in supply, equilibrium price and equilibrium quantity both rises. (iii)

When increase in demand is less than decrease in supply, equilibrium price rises and equilibrium quantity

falls (iv) When increase in demand and increase in supply are equal, equilibrium price falls but equilibrium

quantity remain the same. (v) When decrease in demand is more than increase in supply, equilibrium price

and equilibrium quantity both falls. (vi) When decrease in demand is less than increase in supply,

equilibrium price falls but equilibrium quantity rises.

10. Effect of change in income on equilibrium price: and E. quantity.(i) An increase in income of buyer of

normal good increases both the equilibrium price and equilibrium quantity. A decrease in income on the

other hand, reduces both the E. price and E. quantity.(ii) An increase in income of the buyers of an inferior

good leads to left ward shift in demand curve. The new equilibrium price and equilibrium quantity both

falls. A decrease in income of the buyers leads to right ward shift in demand curve of inferior good. It

raises both equilibrium price and equilibrium quantity.

11. Effect of change in price of related goods on equilibrium price and equilibrium quantity of a given

good: (i) When price of substitute good increases, then demand for the given goods falls, the equilibrium

price and equilibrium quantity of the given good reduces (ii) When price of complementary good

increases, then demand for a given good decreases. As a result both equilibrium price and quantity will

fall. If price of complementary good decreases, demand for the given goods increases As a result

equilibrium price and equilibrium quantity will rise.

12. Effects on e. price and e. quantity when number of firms changes: Other factor remaining unchanged,

when number of firms in the market increases, then market supply of the product will increase. It will lead

to right ward shift in supply curve. In such a situation, e. price will fall but e. quantity will increase. If

number of firms, falls, there will be left ward shift in supply curve. As there is decrease in supply, e. price

will rise but e. quantity will fall.

13. Effect on e. price and e. quantity when price of input changes: -When price of inputs increases, other

factor remaining the same, then cost of production rises leading to leftward shift in supply curve. As supply

decreases, e. price will rise but e. quantity will fall. When prices of input decreases, there will be right

ward shift in supply curve. As a result e. price will fall but e. quantity will rise.

14. Effect on e. price and e. quantity when there is improvement in technology: Other factor remaining

constant, an improvement in technology leads to fall in cost of production. The supply curve shift right

ward, e. price will fall but e. quantity will rise..

15. Special cases of market equilibrium: (i) when supply is perfectly elastic, then change in demand

(increase or decrease) does not affect the e. price. But e. quantity rises in case of increase in demand and

decreases in case of decrease in demand.(ii) When supply is perfectly inelastic, any change in demand does

not affect the e. quantity, but e. price rises in case of increase in demand, and falls in case of decrease in

demand. (iii) When demand is perfectly elastic, then change in supply does not affect the equilibrium

price. But e. quantity rises in case of increase in supply and decreases in case of decrease in supply. (iv)

When demand is perfectly inelastic, then change in supply does not affect the equilibrium quantity. But e.

price falls in case of increase supply and rises in case of decrease in supply.