MTH302- Business Mathematics & Statistics Complete Solved MidTerm Paper

MIDTERM  EXAMINATION

Fall 2008

MTH302- Business Mathematics & Statistics (Session - 2)

    

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

 Store A marked down a $ 50 perfume to $ 40 with markdown of  $10

The % Markdown is

       ► 10%

       ► 20%        

       ► 30%

       ► 40%

   

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

 Given Net price of shirt = $20 , Discount =  10% ,List price will

       ► $22              

       ► $24              

       ► $26               

       ► $30              

   

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

 Which is the correct syntax for the determinant of a matrix given by the following array

                   ► =DETERM(B4:E7)

       ► =MDTERM(B4:E7)

       ► =MDETERM(B4:E7)

       ► =MDETERM(B4;E7)

   

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

 VDB returns the depreciation of an asset for

       ► Zero period

       ► One period

       ► Two period

       ► Any arbitrary period

   

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

 If the cost & selling price of a pen are Rs.12 & Rs.15 respectively, profit percentage is:

       ► 33.33%

       ► 25%

       ► 20%

       ► 10%

   

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

 This example returns the depreciation for an asset that costs Rs. 10,000, with a salvage value of $8,000. The useful life of the asset is 5 years. The depreciation is being calculated for the third year, and there are 10 months in the first year.  

       ► =DB (10000, 5, 8000, 3, 10)

       ► =DB (10000, 8000, 5, 10, 3)

       ► =DB (10000, 8000, 5, 3, 10)

       ► =DB (10000, 8000, 10, 3, 5)

   

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

Which of the following functions is not related to financial analysis?

       ► AMORDEGRC

       ► AMORLINC

       ► CUMIPMT

       ► MDETERM

   

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

 (2) ^ -2 = ) 0.25……..

       ► 

       ► 

       ► 

       ► 

   

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

Dimension of a matrix means

►Column space

►Row space

►Order of the matrix

►None of these

   

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



 If there is a -30% change in the price of an item, what does the negative sign show?

►The price is increasing.

►The price is decreasing.

►The price has low rate of change.

►None of the above.

   

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

According to taxation rules; the amount of allowances is treated tax free if it is upto 50%       of the basic salary.

►

►

►

►

   

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

Write a formula to find the simple interest (I) if $5000 is invested at 4% for 2 years.

►I=PRT

►I=P+R+T

►I=PT

►I=P(R+T)

   

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

Every percentage can be converted into:

       ► Decimal

       ► Ratio

       ► Proportion

       ► Both decimal & ratio

   

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

 Monthly installments of a leased car are calculated by using the techniques of:

       ► Simple interest method

       ► Compound interest method

       ► Annuity

       ► Hit & trial method

   

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

 Suppose that you are spending 1500 dollars in an investment and Accumulated factor is 15 then Accumulated Value will be

       ► 22550

       ► 22500

       ► 21000

       ► 22510

   

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

 What is the interest on Rs. 1600 for one year at the rate %?

       ► 65

       ► 56

       ► 75

       ► 90

   

Question No: 17    ( Marks: 2 )

 A man borrows $39000 for 1and half year at a rate of 1.65%. What is the simple interest he has to pay?

Simple interest is given by

I= P*R*T/100

P= principal = $39000

R= interest rate= 1.65%

T= 1.5 year

Interest, I =(39000 * 1.65 *1.5)/100 = Rs 965.25

   

Question No: 18    ( Marks: 2 )

 If

Cost price = 2000Rs

Selling price = 6500Rs

Then what will be %Markup on cost?

MUC= S- C (Rs markup on cost = selling price- cost price)

         = 6500-2000 = Rs 4500

  % markup on cost = (MuC/cost price) * 100 = (4500/2000) *100=  225%

   

Question No: 19    ( Marks: 3 )

Write the output of B9, B10, B11 and B12. If you think the formula is incorrect write "Error" in output.

ANSWER:

The output of =sum(B3,B4,B5,B6) = 82

=multiply(B5,B6) will not give result because multiply is not a excel function

B4/B6 is not a formula because in excel formula must start with "="

=B4% will return 0.2

   

Question No: 20    ( Marks: 5 )

 A gold chain is sold for Rs. 6500 at a gain of 25%. Find the profit.

Selling price = 6500

Profit = 25%

Profit in Rs= (6500*25)/100= Rs 1625

   

Question No: 21    ( Marks: 10 )

 For the following matrices perform the indicated operation, if possible.

        

(a)

(b)

(c)

a)

A =  2    0     -3    2         +       B =  0      -4     -7    2

      -1   8     10   -5                       12     3      7     9

A+B= 2+0        0-4            -3-7       2+2

        -1+12      8+3           10+7      -5+9

A+B =  2       -4       -10       4

           11     11       17        4

b)

B-A=    0-2      -4-0          -7-(-3)           2-2

         12-(-1)    3-8           7-10             9-(-5)

B-A=  -2      -4           -4       0

          13     -5           -3      14

c)  A+C is not conformable for addition because for addition number of rows and columns of A must be equal to number of rows and columns of C

MTH302- Business Mathematics & Statistics Solved Midterm Paper

MIDTERM  EXAMINATION

Spring 2009

MTH302- Business Mathematics & Statistics 

Time: 60 min

Marks: 40

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

 A, B and C play cricket. A's runs are to B's runs and B's runs are to C's as 3:2. They get altogether 342 runs.

How many runs did A make?

       ► 162

       ► 108

       ► 72

       ► 112

   

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

 The price of a P4 computer was $12000 last year. What is the price of the computer for this year if the price is decreased by 10%?

       ► $12000

       ► $12500

       ► $10800

       ► $9000

   

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

 Four friends take an IQ test. Their scores are 96, 100, 106, 114. Which of the following statements is true?

       ► The mean is 103.

       ►  The mean is 104.

       ► The median is 100.

       ► The median is 106.

   

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

 Percentage is a ratio of given number with standard number:

       ► 100

       ► Same number

       ► 1000

       ► 10

   

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

 The Virtual University of Pakistan is a growing distant learning university of Pakistan. The number of students in the university is increasing each year. The number of registered students in a course related to business math last year was 7113 and it is increased up to 9242 this year. What is the percentage increase in the number of students?

       ► 23%

       ► 30%

       ► 18%

       ► 42%

   

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

 If A and B are any two matrices of order  and  respectively and m>n and p<q. What should be the condition on m, n, p, q for the product AB to hold?

       ► n>p

       ► m<=q

       ► q=p

       ► n=p

   

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

 The price at which investors buy or sell a share of stock at a given time is referred as

       ► Face value

       ► Market value

       ► Accumulated value

       ► Earning value

   

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

 Gross salary is also called Net salary

       ► True

       ► False

   

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

 Can we subtract a positive integer k from the identity matrix?

       ► Yes

       ► No

   

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

 Net price =

       ► List price +trade discount

       ► List price - trade discount

       ► List price /trade discount

       ► List price * trade discount

   

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

 Division. Symbol: /  is  a type of

       ► Comparison operators  

       ► Concatenation operator 

       ► Reference operators 

       ► Arithmetic operators

   

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

 Given :  List Price =5500Rs   , Discount = 850Rs, then  Net Cost Price will be

       ► 6350 Rs

6350 Rs

       ► 5508 Rs

5508 Rs

       ► 5585 Rs

       ► 4650 Rs

   

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

 To convert a number in percent (%) from a fraction, we do which of the following operation:                                                                                         

       ► add by 100

       ► subtract by 100

       ► multiply by 100

       ► divide by 100 

   

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

 If is the matrix of dimension  and is the identity matrix of dimension . Then which of the following is true

       ► AI = I

       ►       AI = A

       ► A + I = A

       ► A + I = I

   

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

 If ratio of boys and girls in a class is 7: 5, which of the following can’t be the total number of the students in the class?

       ► 36

       ► 50

       ► 60

       ► 120

   

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

 SLN returns the straight-line depreciation of an asset for

       ► Zero period

       ► One period

       ► Two periods

       ► Three periods

   

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

 Assume you will work for the next 20 years and at the end of each year you will deposit $20,000 into a savings account.  At the end of that 20 year period you will start withdrawing your retirement living expenses from that account at the beginning of every year.  This financial plan involves a _____ problem while you are working and a _____ problem while you are in retirement.

       ► a present value of a dollar, future value of a dollar

       ► a future value of an annuity due, a present value of an annuity due 

       ► a future value of an annuity due, a present value of an ordinary annuity

       ► a future value of an ordinary annuity, a present value of an annuity due

       ► a future value of an ordinary annuity, a present value of an ordinary annuity

   

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

 
By multiplying the above two matrices we get the following result

       ►

       ►

       ►

       ► Given matrices cannot be multiplied

   

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

 which of the following is linear equation

       ► 2x-3y=-6

       ► x+x+x

       ► 520x²y²

       ► y^2 -3=0

   

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

 Given  FC = Rs.5000 ,CM= Rs. 30 ,VC= Rs. 150 , Capacity = 320units then BEP in units =   

►4500 units

►167 units

►33 units

►16 units

   

Question No: 21    ( Marks: 2 )

 Find the Discount where price is 2000 and discount rate is 12%.

Solution:

Price = 2000

Discount rate = 12%

Discount = Price * rate

Discount = 2000*12/100

Discount = 240

   

Question No: 22    ( Marks: 3 )

 Calculate compound interest earned on Rs. 2250 invested at 8% per annum for 6 years

   

Solution

compound interest = (1-((1.08)^6))*2250=1320

Question No: 23    ( Marks: 5 )

 If the Basic salary of an employee is Rs 8000 and Allowances are Rs 4,000 . What are the cost on account of 20 casual and 10 sick leaves per year if normal working days per month are 26?  

   

Solution:

Cost of casual leaves per year = {18 / (26 x 12)} x 12000 x 12 = 8307.7 Rs

Cost of Sick leaves per year = {12 / (26 x 12) x 12000 x 12 = 5538.5 Rs.

Question No: 24    ( Marks: 10 )

 The price of medicine inventory is Rs. 500,000.

The series discounts are 20%, 10%, 5%.

What is the single equivalent discount rate?

 if  Invoice was dated May 1^st and  10% discount  is offered if invoice is paid up to 10^thMay. What will be net payment  for invoice value of Rs. 500,000 if paid up to 10^th May.

Solution

List Price=500,000

              D1=20%

              D2=10%

              D3=5%

Net price=N= L (1-d1)(1-d2)(1-d3)

            = 500,000(1-0.20)(1-0.10)(1-0.05)

            = 342,000

Single discounted rate is given by

      Here we see      N=L(1-d)

                          =500000(1-31.6%)

                          =342000

So we can say that …..31.6% is a single discounted rate

Payment over 10^th of may= 500,000(1- 10%)

                          = 450,000