MGT411 current paper (May 2010)

Today Paper (26-05-2010)

MIDTERM EXAMINATION

Spring 2010

MGT411- Money & Banking (Session - 2)

Time: 60 min

Marks: 44

Student Info
StudentID:
Center:	OPKST
ExamDate:	5/26/2010 12:00:00 AM

For Teacher's Use Only
Q No.	1	2	3	4	5	6	7	8	Total
Marks
Q No.	9	10	11	12	13	14	15	16
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Q No.	17	18	19	20	21	22	23	24
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Q No.	25	26	27	28	29	30	31	32
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Question No: 1 ( Marks: 1 ) - Please choose one

Which of the following are used to transfer resources from savers to investors and to transfer risk to those who best equipped it?

► Financial markets

► Financial instruments

► Financial institutions

► Banks

Question No: 2 ( Marks: 1 ) - Please choose one

The reason for the government to get involved in the financial system is to:

► Protect investors

► Ensure the stability of the financial system

► Protect bank customers from monopolistic exploitation

► All of the given options

Question No: 3 ( Marks: 1 ) - Please choose one

A Financial Intermediary:

► Is an agency that guarantees a loan

► Is involved in direct finance

► Would be used in indirect finance

► None of the given options

Question No: 4 ( Marks: 1 ) - Please choose one

A derivative instrument:

► Gets its value and payoff from the performance of the underlying instrument

► Is a high risk financial instrument used by highly risk averse savers

► Comes into existence after the underlying instrument is in default

► Should be purchased prior to purchasing the underlying security

Question No: 5 ( Marks: 1 ) - Please choose one

The financial intermediary that obtains funds largely through premium payments and uses those funds to purchase corporate bonds and mortgages is:

► Credit unions

► Mutual funds

► Life insurance companies

► Pension funds

Question No: 6 ( Marks: 1 ) - Please choose one

Which one of the following financial instrument is NOT primarily used as store of value?

► Banks loans

► Asset-backed securities

► Insurance contracts

► Stocks

Question No: 7 ( Marks: 1 ) - Please choose one

Which one of the following represents the main purpose for which the secondary markets are made?

► Small investors who don’t have an access to new securities

► Primary market is not enough for buying and selling of securities

► Large investors usually traded in these markets

► Prices in the secondary markets are known to investors

Question No: 8 ( Marks: 1 ) - Please choose one

Which one of the following is NOT an example of Centralized exchange?

► New York Stock Exchange

► NASDAQ

► Large exchanges in London

► Large exchanges in Tokyo

Question No: 9 ( Marks: 1 ) - Please choose one

What will be the effect on the present value if we double the future value of the payment?

► It will decrease the value by one-half

► It will increase the value by one-half

► It will equally increase the value i.e. doubles the value

► It will have no effect on the value

Question No: 10 ( Marks: 1 ) - Please choose one

The interest rate that is involved in _____________ calculation is referred to as discount rate

► Present value

► Future value

► Intrinsic value

► Discount value

Question No: 11 ( Marks: 1 ) - Please choose one

A credit market instrument that pays the owner a fixed coupon payment every year until the maturity date and then repays the face value is called:

► Simple loan

► Fixed-payment loan

► Coupon bond

► Discount bond

Question No: 12 ( Marks: 1 ) - Please choose one

Mary is planning on taking out a mortgage loan for her new house. She is given the choice of two different banks: Bank A has quoted annual rate of 8% compounded semi-annually and Bank B has a quoted annual rate of 7.5% compounded for a certain number of times a year. Which bank should Mary choose?

► Bank A

► Bank B

► Indifferent between Bank A and Bank B

► Insufficient information

Question No: 13 ( Marks: 1 ) - Please choose one

For a $1000 one year discount bond with a price of $975, the yield to maturity is which of the following?

► $975/$1000

► ($1000 – $975)/$975

► ($1000 – $975)/($1000)

► $1000/$975

Question No: 14 ( Marks: 1 ) - Please choose one

If YTM equals the coupon rate the price of the bond is __________.

► Greater than its face value

► Lower than its face value

► Equals to its face value

► Insufficient information is given

Question No: 15 ( Marks: 1 ) - Please choose one

If YTM is less than the coupon rate the price of the bond is __________.

► Greater than its face value

► Lower than its face value

► Equals to its face value

► Insufficient information is given

Question No: 16 ( Marks: 1 ) - Please choose one

Current yield is equal to which of the following?

► Price paid / yearly coupon payment

► Price paid *yearly coupon payment

► Yearly coupon payment / face value of bond

► Yearly coupon payment / price paid

Question No: 17 ( Marks: 1 ) - Please choose one

For a $100 one-year zero-coupon bond, the supply will be __________ at $95 than it will be at $90, all other things being equal.

► Higher than before

► Lower than before

► Stable

► Insufficient information

Question No: 18 ( Marks: 1 ) - Please choose one

An increase in the expected inflation shifts the bond supply to the _________

► Right

► Left

► No change

► None of the given options

Question No: 19 ( Marks: 1 ) - Please choose one

The default premium:

► Is positive for a U.S. Treasury bond

► Must always be less than 0 (zero)

► Is also known as the risk spread

► Is assigned by a bond rating agency

Question No: 20 ( Marks: 1 ) - Please choose one

Calculate tax implication on Bond yields. Consider a one year bond face value Rs.100 (issued by Government) with coupon rate of 6%.What is the income of bond that is received at maturity? (Tax rate is 30%).

► Rs.6

► Rs.1.80

► Rs.4.20

► Rs.7.80

Question No: 21 ( Marks: 1 ) - Please choose one

Which of the following statement is true for the given sentence, "that tax affects the bond return"?

► Because only interest income they receive from bond is taxable

► Because principal amount and interest income they receive from bond is taxable

► Because bond holders are taxpayers

► Because all bond is sold with a condition that tax will be deducted from its return

Question No: 22 ( Marks: 1 ) - Please choose one

Expectation hypothesis focuses on which one of the following?

► Risk premium

► Risk free interest rate

► Yield to maturity

► None of the given options

Question No: 23 ( Marks: 1 ) - Please choose one

According to the liquidity premium theory of the term structure, when the yield curve has its usual slope, the market expects

► Short-term interest rates to rise sharply

► Short-term interest rates to stay near their current levels

► Short-term interest rates to drop sharply

► Short-term interest rates does not change

Question No: 24 ( Marks: 1 ) - Please choose one

The Theory of Efficient Markets:

► Allows for higher than average returns if the investor takes higher risk

► Says Insider-information makes markets less efficient

► Rules out high returns due to chance

► Assumes people have equal luck

Question No: 25 ( Marks: 1 ) - Please choose one

If information in a financial market is asymmetric, this means:

► Borrowers and lenders have the same information

► Lenders lack any information

► Borrowers and lenders have perfect information

► Borrowers would have more information than lenders

Question No: 26 ( Marks: 1 ) - Please choose one

Often a bank will require a loan officer to make personal visits on customers with loans outstanding. This is encouraged because:

► The bank worries about competitors trying to steal their customers

► The bank wants to make sure the business is still there

► The bank likely has excess funds available and hopes to make another loan to the business

► This is an effective monitoring technique and should reduce moral hazard

Question No: 27 ( Marks: 1 ) - Please choose one

Financial instruments are used to transfer which of the following?

► Both Risk and Resources

► Risk

► Resources

► Mortgages

Question No: 28 ( Marks: 1 ) - Please choose one

Which of the following has created an opportunity for small investors to participate in economic activity?

► Mutual funds

► Small corporations

► Stock brokers

► Small investors cannot take part in economic activity

Question No: 29 ( Marks: 3 )

Find out YTM of 1 year 12% coupon bond selling at $130. (Face value of bond = $100).

Question No: 30 ( Marks: 3 )

Why stocks are risky?

Question No: 31 ( Marks: 5 )

Discuss the negative consequences of information costs and also suggest their solution.

Question No: 32 ( Marks: 5 )

Ahmad purchases a 10 year 8% coupon bond with the face value of $100. He wants to hold this bond for 1-year and then sells a 9-year bond after 1-year.

(i) If interest rate does not change then what will be the rate of return?

(ii) If interest rate falls to 6% then suppose price increases to $109.16. What will be the capital gain after the price rise?

(iii) After the price rise, what will be the one year holding period return?

CS201 current paper (May 2010)

Today Paper(26-05-2010)

Q1: Write down the general syntax of switch statement. 2 Marks



Q2: Why we close a file after use? 2 Marks



Q3: When a pointer is incremented then how many bytes will it move to change its address?

2 Marks



Q4: If there are 2n element in an array then what would be the number of iterations required to search a number using binary and linear search? 3 Marks



Q5: write down the functions definition if we want to pass the argument to a function by reference without changing the values stored at address. 5 Marks



Q6: What will be the output of the following code segment 5 Marks



, int x= 6;

int y;

x = x << y =" x">> 1;

cout << “x = ” << y =" ”">

Another Paper:-

6 to 7 MCQs came form past papers



1 or 2 short questions came from past papers.



Some of the short questions that I remember were:



1. What is the difference between pre-increment and post-increment operator

2. One major use of pointer

3. If an array has elements 2^n, then what would be the maximum number of iterations required to search by binary and linear search? (I don't remember the exact statement of the question) (answer is on page # 118)

4. Write the procedure of data insertion in middle of the files by Merge Method practiced in older systems? (answer is given in page # 218, in handouts)

5. Functions used to read/write more than a single character or a single line while using Files? (read chapter # 19, on page 221 i think this concept has been discussed)



In the long question, a program was given and we were required to point out the compilation errors and correct them.

It was easy.

ACC311 current paper (May 2010)

Today Paper (26-05-2010)

28 mcqs
Enlist the categories of risk assessment procedure ( 3 marks)
definition of internal control and enlist the procedure of audit ? (3 marks)
what is the purpose of substantive procedure and define the "timing"? (5 marks)
what is the information system and what is the importance in the accounting systems (5 marks)

HRM627 current paper (May 2010

Today Paper (26-05-2010)

Total questions 32
28 MCQS
2 Short questions 3 marks each
2 long questions 5 marks each

my paper was tough. mcqs were different.

Short questions are
Describle ulterir trabsaction with example?
Name charactersitics of good governance?

Long questions
Describe the factors that distort communication of emotions?
Write foundation of GNH (gross national happiness)?

MGT603 current paper (Stratigic Management 26-05-2010

Total MCQS: 28

2 Question of Marks3

2 Question of Marks5

Question No: 32 (Marks: 3) 

Describe any three functions of finance / accounting policies.

2nd yaad nahi ek strategy statement.

Ratio analysis se related question tha 5 no ka

Question No: 32 (Marks: 5) 

Describe any two types of integrative strategies? Give one example for each.

MGT603 current paper (May 2010

Today Paper (26-05-2010)

MIDTERM EXAMINATION
Spring 2010
MGT603- Strategic Management (Session - 3)
Time: 60 min
Marks: 44
Question No: 1 ( Marks: 1 ) - Please choose one
Which of the following is often considered the first step in strategic planning?
► Devising a mission statement
► Developing a vision statement
► Setting annual objectives
► Formulating set of strategies

Question No: 2 ( Marks: 1 ) - Please choose one
External opportunities and threats that can significantly benefit or harm an organization may include all of the following EXCEPT:
► Demographics
► Competitive trends
► Technological changes
► Research and development

Question No: 3 ( Marks: 1 ) - Please choose one
The objectives set by a manager should have which of the following characteristics?
► Should spell out how fast the company's strategy is to be implemented
► Should be challenging and congruent among organizational units
► Should include long-range performance targets but not short-range targets
► Should include financial performance targets but not strategic performance targets

Question No: 4 ( Marks: 1 ) - Please choose one
Identify the term that is known as a “mean of providing guidance to actions and procedures, including how resources are to be allocated and how tasks assigned to the organization might be accomplished”.
► Policies
► Objectives
► Aspirations
► Goals

Question No: 5 ( Marks: 1 ) - Please choose one
Which of the following is not considered as a key component of the strategic management model?
► Empowering policies
► Functional strategies
► Corporate level hierarchy
► Company mission

Question No: 6 ( Marks: 1 ) - Please choose one
The organizations that conduct business operations across national borders are known as:
► Multinational corporations
► Domestic firms
► Strategic alliances
► Franchises

Question No: 7 ( Marks: 1 ) - Please choose one
Which component of a mission statement addresses the basic beliefs, values, aspirations, and ethical priorities of the firm?
► Technology
► Philosophy
► Customers
► Self-concept

Question No: 8 ( Marks: 1 ) - Please choose one
“Identifying and evaluating social, political, economic, technological and competitive trends and events”; which of the followings best describes this statement?
► Developing an effective mission statement
► Conducting an internal audit
► Performing an external audit
► Formulating strategy

Question No: 9 ( Marks: 1 ) - Please choose one
External assessment is performed in which of the following strategic-management phase?
► Strategy formulation stage
► Strategy implementation stage
► Strategy evaluation stage
► All of the given options

Question No: 10 ( Marks: 1 ) - Please choose one
“Ethnic balance changes due to the migration of the people from different areas to different areas. This affects the ethical behavior very much”, this is the effect of which of the following forces?
► Economic forces
► Social, cultural, and demographic forces
► Technological forces
► Competitive forces

Question No: 11 ( Marks: 1 ) - Please choose one
Which of the following is TRUE about anti-trust legislation?
► The is the law intended to protect the ozone layer in the environment
► This is the law intended to regulate the tax rates in the economy
► This is the law intended to promote free competition in the market
► This is the law intended to regulate and register the patents

Question No: 12 ( Marks: 1 ) - Please choose one
Which of the following best describes this statement; “A systematic and ethical process for gathering and analyzing information about the competition’s activities and general business trends to further a business’ own goals”?
► External assessment
► Industry analysis
► Competitive intelligence program
► Business ethics

Question No: 13 ( Marks: 1 ) - Please choose one
Which one of the following is NOT is a basic mission of a competitive intelligence program?
► To provide a general understanding of an industry
► To provide a general understanding of a company’s competitors
► To identify industry executives who could be hired by the firm
► To identify potential moves a competitor might make that would endanger a firm

Question No: 14 ( Marks: 1 ) - Please choose one
Supplier bargaining power is not likely to pose strong competitive pressure when which of the following situation is prevailing?
► Buying firms are looking for suppliers with superior just-in-time supply capabilities and low prices
► The suppliers furnish a critical part or component that is in relatively short supply
► Buying firms collaborate closely with their key suppliers to achieve mutual benefits
► The products of alternative suppliers are highly differentiated, making the cost of switching relatively high

Question No: 15 ( Marks: 1 ) - Please choose one
In Porter's Five Forces, the 'threat of new entrants' relates to which factor?
► Barriers to entry
► Substitutes
► Switching cost
► Buyer power

Question No: 16 ( Marks: 1 ) - Please choose one
Internal analysis involves gathering and analyzing information about all areas of a firm EXPECT:
► Research and development
► Management information system
► Marketing
► Competitors

Question No: 17 ( Marks: 1 ) - Please choose one
“A complex set of basic underlying assumptions and deeply held beliefs shared by all members of the group and drive in important ways the behavior of individuals in the organizational context” is known as:
► Internal audit
► Organizational culture
► Internal assessment
► Organizational strategy

Question No: 18 ( Marks: 1 ) - Please choose one
Test marketing is commonly applied by which of the following companies?
► Industrial goods companies
► Consumer goods companies
► Public sector companies
► Private sector companies

Question No: 19 ( Marks: 1 ) - Please choose one
A company's ROI (Return on Investment) can be algebraically decomposed into which of the following two major components?
► Return on sales and fixed capital
► Return on sales and net profit
► Return on sales and Cost of goods sold
► Return on sales and Total assets

Question No: 20 ( Marks: 1 ) - Please choose one
All of the following fall under the category of ‘Process” function of production management EXCEPT:
► Choice of technology
► Quality assurance
► Process flow analysis
► Transportation analysis

Question No: 21 ( Marks: 1 ) - Please choose one
The IFE matrix summarizes and evaluates which factors in the functional areas of a business?
► Opportunities and threats
► Strengths and weaknesses
► Strengths and threats
► Opportunities and weaknesses

Question No: 22 ( Marks: 1 ) - Please choose one
Which of these strategies is effective when the number of suppliers is small and the number of competitors is large?
► Conglomerate diversification
► Forward integration
► Backward integration
► Horizontal diversification

Question No: 23 ( Marks: 1 ) - Please choose one
Which of the following is a drawback or limitation of Horizontal Integration?
► Synergies may be more imaginary than real
► It can increase suppliers' and buyers' bargaining power
► Economies of scale are likely to be decreased
► Both the first & third options are correct

Question No: 24 ( Marks: 1 ) - Please choose one
_______________ refers to a strategy of seeking ownership or increased control over a firm’s competitors.
► Conglomerate diversification
► Backward integration
► Horizontal integration
► Concentric diversification

Question No: 25 ( Marks: 1 ) - Please choose one
If market shares of competitors are declining whereas total industry sales are increasing, which strategy do you think may be the right one to pursue?
► Divestiture
► Market Penetration
► Market Development
► Retrenchment

Question No: 26 ( Marks: 1 ) - Please choose one
“Substantial changes to the range of offerings or the markets served or both” is referred as:
► Differentiation
► Diversification
► Relocation
► Brand extension

Question No: 27 ( Marks: 1 ) - Please choose one
When both divestiture and retrenchment have been pursued unsuccessfully, which of the following strategies is effective to pursue?
► Forward integration
► Liquidation
► Merger
► Takeover

Question No: 28 ( Marks: 1 ) - Please choose one
Which of the following statements is TRUE about company’s strategies?
► Company strategies concern how to grow the business, how to out-compete rivals, how to satisfy customers
► Company strategies concern when to change the company's strategic vision and business model
► Company strategies concern whether to focus on achieving short-run performance targets or on long-range
► Company strategies concern performance targets and how much organizational stretch to build in

Question No: 29 ( Marks: 3 )
Suppose according to the IFE matrix, the weighted score of a certain company is 2.85. How that company will interpret this score?

Question No: 30 ( Marks: 3 )
Explain concentric diversification strategy with the help of two examples of local or multinational firms operating in Pakistan?

Question No: 31 ( Marks: 5 )
Critically analyze this statement, “Internal audit provides more opportunity for participants to understand how their jobs, departments, and divisions fit into the whole organization than the external audit”.

Question No: 32 ( Marks: 5 )
Describe any two types of integrative strategies? Give one example for each.

Another Paper:-

28 MCQ
2 Question of Marks3
2 Question of Marks5

Question No: 32 (Marks: 3)
Describe any three functions of finance / accounting policies.
2nd yaad nahi ek strategy statement.

Ratio analysis se related question tha 5 no ka
Question No: 32 (Marks: 5)
Describe any two types of integrative strategies? Give one example for each.

STA301 current paper (May 2010) 26-05-2010

Total Questions: 26

Sample point with example

Calculate Standard Deviation and Variance 

What is Coefficient of determination?

The Sample Space for tossing dice two times find probability (Handouts Page 147 Example 3 )

MGT613 current paper (May 2010

Today Paper (26-05-2010)

THEREWERE TOTAL 32 QUESTION:
28 mcq's
2 short questions of 3 marks
2 questions of 5 marks

Another Paper:-

Total 32 Question
MCQs 28 (Marks 1)

Question 29: Explain Capacity Feasibility ? (Marks 3)
Question 30 : what is Research Develop of the Development of the Organization ?(Marks 3)
Question 31 : Advantages and Disadvantages of operation Manger?(Marks 5)
Question 32 : Suppose you are working as an operation manager in an automobile company. Your company wants to move its manufacturing plant from one location to other location. What factors will affect the location decision according to your point of view? (Marks 5)