MS 9 IGNOU MBA Assignments July-Dec 2015

1. “The traditional objective of the firm has been profit maximization. It is still regarded as the most common and theoretically the most plausible objective of business firms.” Discuss.

2. With reference to the marketing approach of demand measurement explain any two important sources of data used in demand forecasting.

3. Given the total cost function: C=16q2 + 10q + 36 (where q is the output)

Find: (i) values of q for which ATC is falling, and
(ii) values of q for which ATC is rising.

4.“A Tata Sky Direct – to – Home (DTH) service provider charges a base fee for booking into its system and then charges extra for base packs, add-on packs, active packs and special packs.” Explain this statement in terms of the Two- Part Tariffs used as pricing strategy by the company.

5. Explain the profit maximizing output for a perfectly competitive firm in the long run.

6. Write short notes on the following:
(a) Breakeven output level
(b) Marginal rate of technical substitution
(c) Average variable cost

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