0





   

                                                      National Open University of Nigeria
                                             14-16 Ahmadu Bello Way, Victoria Island Lagos 
                                                                School of Management Science
                                                          MARCH/APRIL 2015 Examination






                  COURSE CODE: MGS303
                  COURSE TITTLE: MANAGERIAL ECONOMICS
                  TIME ALLOWED: 2hrs
                   Instructions: ANSWER QUESTION 1 AND ANY OTHER 2 QUESTIONS
                                               Q1 ISCOMPULSORY AND CARRIES 30MARKS WHILE OTHER 2 CARIIES 20MARKS EACH
                                               PRESENT ALL YOUR POINTS IN COHERENT AND ORDERLY MANNER


1a. suppose that the unit price of a commodity is defined by
p=100-2Q
then TR=PQ=(100-2Q)
                         100Q-2Q raise to power 2

suppose all so that the total cost of producing this commodity is defined by the cost function TC = 100+0.5Q2

i. you are required to apply the first – order condition for profit maximization 

ii.determine the profit –maximizing level of output 

1b. state and describe the 2 scope of managerial economics 

2. let the profit of an hypothetical firm be given as 

π=f(X,Y) = 100X – 2Xraise to power2 – XY + 180Y – 4Yraise to power 2 

where X and Y represent to products X + Y =30

HINT:

a. Express one of the variables (X or Y in this case ) in terms of the other and solve the constraint equation for one of them (Xor Y)

b. substitute the solution obtained  into the objective function (that is the function to be maximized or the profit function) and solve the outcome for the other variable

3. List and explain the importance features of decision making in business 

4. state and discuss the 5 theories of profit 

5.explain the marginal conditions of profit maximization 

6. list and describe the 4 types of demand encountered in business 

*********************************************************************************
you can also attend Online Classes,Online Colleges,online tutorials. to be well prepared for exam Goodluck.

Post a Comment

 
Top