ASSIGNMENT NO:1

1) Main functions of administrative management are:

 planning ,organizing, directing and controlling

2) Control function of management cannot be performed without:

 Planning

3) Which of the following statement best described the principle of ‘Division of work’?
 labour should be divided

4) Henry Fayol was known for

 The father of general management

5) Who is known as 'the Father of Modern Theory of Management’?

 Henry Fayol

6) Which term best describes the process of obtaining, deploying, and utilizing a variety
of essential resources to contribute to an organization’s success?
 Management

7) _______________principle of management states that there should be a place for

everything and everything should be in its place.
 Order

8) __________ involves harmony and team spirit among employees.

 Esprit de corps

9) Unity of command implies

 be accountable to one and only one superior

10) Placing right person at right place refer to which of the following functions of
management
 Staffing

ASSIGNMENT NO:2

1) Which level is also known as the ‘head of the organisation’?

 Top Level Management

2) The main task of this level of management is to determine the overall organisational
objectives and strategies for their realisation.
 Top level management
 3) Organization is the place where people in the organisations carry out diverse tasks
with the aim to achieve.
 Common Objectives

4) Which level of management is responsible for implementing programs that are

intended to carry out the broader objectives of an organization set by executives?
 middle managers

5) The second step in the process of Management by Objective is__________

 Setting Sub-ordinates objectives

6) Which of the following is not the limitation of Management by Objective

 None of the above

7) Management by Objectives is meant for______________________

 Goal Oriented

8) The military type organization leads to__________________________

 Unified Control

9) In ---------type of organization, workers receive instructions from various specialists.

 Functional

10) Everything which goes to increase the importance of subordinates role

is___________________
 Decentralization

ASSIGNMENT NO : 3

1) Assume that activity G has the following times:

Early start time = 7 days
Early finish time = 13 days
Late start time = 15 days
Late finish time = 21 days
Which of the following statements is true about activity G?

 activity G takes 6 days to complete

2) In Critical Path Method (CPM), the cost-time slope of an activity is given by

  Crash cost - Normal Cost
Normal Time - Crash Time

3) For activity A Most Likely time is 6 days, Optimistic time is 10 days and Pessimistic
time is 2 days. The expected duration of activity A will be
 6 Days

4) Critical activity will have

 Zero float

5) What is a critical path?

 It is the longest path

6) Activities A, B, and C are the immediate predecessors for Y activity. If the earliest
finishing time for the three activities are 13, 16, and 15, then what will be the earliest
starting time for Y?
 16

7) In a Gantt chart/ Bar Chart the horizontal axis is usually which of the following?
 Time

8) PERT is an abbreviation for which of the following methodologies?

 Program Evaluation and Review Technique

9) ____________________activities are ones that will delay the entire project if they are
late or delayed.
 Critical

10) An activity has an optimistic time of 15 days, a most likely time of 18 days, and a
pessimistic time of 27 days. What is its expected time?
 19 Days

ASSIGNMENT NO: 4

1) What will be effective interest rate if compounding is done monthly. Nominal interest rate
= 12 % per annum.
=> 12.68 %

2) How much money will be accumulated at the end of 10th year if you deposit Rs. 1000 now
at an interest rate of 12 % per annum.
=> Rs. 3105.84
3) Being an entrepreneur, you wish to take loan of Rs.1,00,000 today from Bank. Interest rate
for loan is 10% per year compounded biannually. You wish to Nil your loan in 10 years. How
much money you have to deposit in bank per year for 10 years in order to nil your loan?
=> 16450

4) How much money you must keep aside at the end of every year for next 5 years if you
wish to purchase an equipment after five years. Cost of an equipment at the end of 5th year
will be Rs. 75,000. Assume interest rate as 12% compounded annually
=> Rs. 11,805

5) If A lends Rs. 10,000 to B at 10% per annum and B lends the same sum to C at 12.0 % per
annum, then the gain of B (in Rs.) in a period of 3 years is (Use Compound interest)
=> Rs. 739

6) In case of rate of return method, alternative having _________rate of return is selected

=> Maximum

7) Find the difference between simple and compound interest at 5% per annum for 2 years on
principal of Rs. 3000
=> Rs. 7.5

ASSIGNMENT NO: 5

1) A Faridabad based automobile manufacturing unit buys gears from one of its vendors for
Rs. 2,800 per unit. The company has realized that it has enough extra capacity to produce the
gears in-house. The cost estimates associated with producing the gears in-house are given
below.
Cost of raw materials = Rs. 175 per unit
Labour Cost= Rs. 250 per unit
Variable overhead cost = Rs. 75
The annual fixed cost associated with unused capacity is Rs. 15,00,000. The demand for
gears over the next year is estimated to be 25,000 units.

 Cost to make = Rs. 1,40,00,000

Cost to buy = Rs. 7,15,00,000

2) OK Play Ltd manufactures an article from a polymer, the annual demand for which is
20,000 units. Various cost elements in respect of make or buy option of the article are shown
in following table.
BUY MAKE
 Unit cost of item (Rs.) 85 52

Procurement cost / order (Rs.) 750

Set-up cost/set-up (Rs.) 1,000

Annual carrying cost/ item/ year (Rs.) 25 12

Production rate/year (No.) 35,000

Find out total cost of Make or Buy option

 MAKE OPTION- Total Cost= Rs. 10,47,257.77
BUY OPTION- Total Cost= Rs. 17,27,386.131

3) LLOYD Ltd requires 7,500 cabinets for one of its niche products which it buys from a
vendor for Rs. 350 per unit. If the company starts making the cabinet in its manufacturing
facility it has to bear Rs. 175 per unit towards variable cost and Rs. 10,00,000 as fixed cost.
Should the company buy or purchase the cabinets?
=> MAKE

4) A company purchased small equipment for Rs. 70,000. Annual maintenance costs are
expected to be Rs. 1,850, but net income will be Rs. 14,000 per year. How long it take for the
company to recover its investment at an interest rate of 10 % per year?
=> n= 7.27 years

5) Which of the following approach is not used in make or buy decision?

=> Payback analysis

ASSIGNMENT NO: 6

1) A company has purchased an equipment whose first cost is Rs. 5,00,000 with an estimated
life of ten years. The estimated salvage value of the equipment at the end of its lifetime is Rs.
50,000. Depreciation at the end of ninth year is _____________(Use Sum of the years digits
method of depreciation)
=> Rs. 24,222

2) A company has recently purchased an overhead travelling crane for Rs. 25,00,000. Its
expected life is seven years and the salvage value at the end of the life of the overhead
travelling crane is Rs. 1,00,000. Using the straight line method of depreciation, find the
depreciation for third year after the crane is purchased.
=> Rs. 10,28,571.43

3) Small equipment has first cost of Rs. 20,000 and a 10 year estimated life. The estimated
salvage value of the equipment is zero at the end of 10 years. It is expected that the
equipment will be used a total of 10,000 hours over a period of 10 years. In the fifth year of
operation, the estimated usage is 600 hours and the cumulative usage by the end of fifth year
is 6,000 hours. If the depreciation is based on hours of use, determine depreciation during the
fifth year.
=> Rs. 12,000

4) An organization has purchased equipment whose first cost is Rs. 10,000 with an estimated
life of twelve years. The estimated salvage value of the equipment at the end of its lifetime is
Rs. 1,000. Book value at the end of 5th year is ____________ (Use sinking fund method of
depreciation).Consider interest rate as 10% compounded annually.
=> Rs. 6554.89

5) A company has purchased an equipment whose first cost is Rs. 1,00,000 with an estimated
life of eight years. The estimated salvage value of the equipment at the end of its lifetime is
Rs. 20,000. Book value (as per Declining Balance Method of depreciation, Consider fixed
percentage as K= 0.20) at the end of third year is_________________.
=> Rs. 51200