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MultiplechoiceQuestionsandAnswers
LatestIndustrialEngineeringQuestionsandAnswersList
1.Agraphicaldeviceusedtodeterminethebreakevenpointandprofitpotentialundervaryingconditionsof
outputandcosts,isknownas
(a)Gnattchart
(b)flowchart
(c)breakevenchart
(d)PERTchart
(e)Taylorchart.
Ans:c
2.Breakevenanalysisconsistsof
(a)fixedcost
(b)variablecost
(c)fixedandvariablecosts
(d)operationcosts
(e)noneoftheabove.
Ans:c
3.Breakevenanalysisshowsprofitwhen
(a)salesrevenue>totalcost
(b)salesrevenue=totalcost
(c)salesrevenue<totalcost
(d)variablecost<fixedcost
(e)noneoftheabove.
Ans:a
4.Inbraekevenanalysis,totalcostconsistsof
(a)fixedcost
(b)variablecost
(c)fixedcost+variablecost
(d)fixedcost+variablecost+overheads
(e)fixedcost+salesrevenue.
Ans:a
5.Thebreakevenpointrepresents
(a)themosteconomicallevelofoperationofanyindustry

(b)thetimewhenunitcanrunwithoutilossandprofit
(c)timewhenindustrywillundergoloss
(d)thetimewhencompanycanmakemaximumprofits
(e)timeforoverhaulingaplant.
Ans:c
9.Inthecoststructureofaproduct,thesellingpriceisdeterminedbythefactorssuchas1
(a)salesturnover
(b)lowestcompetitiveprice
(c)variouselementsofthecost
(d)buyers'capabilitytopay
(e)alloftheabove.
Ans:e
10.Workstudyisconcernedwith
(a)improvingpresentmethodandfindingstandardtime
(b)motivationofworkers
(c)improvingproductioncapability
(d)improvingproductionplanningandcontrol
(e)alloftheabove.
Ans:a
11.Basictoolinworkstudyis
(a)graphpaper
(b)processchart
(c)planningchart
(d)stopwatch
(e)analyticalmind.
Ans:d
12.Whatdoessymbol'O'implyinworkstudy
(a)operation
(b)inspection
(c)transport
(d)delaytemporarystorage
(e)noneoftheabove.
Ans:a
15.Whatdoessymbol'D'implyinworkstudy
(a)inspection
(b)transport
(c)delaytemporarystorage

(d)permanentstorage
(e)noneoftheabove.
Ans:c
16.Inperpetualinventorycontrol,thematerialischeckedasitreachesits
(a)minimumvalue
(b)maximumvalue
(c)averagevalue
(d)middlevalue
(e)alarmingvalue.
Ans:a
17.Materialhandlinginautomobileindustryisdoneby
(a)overheadcrane
(b)trolley
(c)beltconveyor
(d)alloftheabove
(e)noneoftheabove.
Ans:a
18.Stringdiagramisusedwhen
(a)teamofworkersisworkingataplace
(b)materialhandlingistobedone
(c)idletimeistobereduced
(d)alloftheabove
(e)noneoftheabove.
Ans:a
20.Workstudyismostuseful
(a)whereproductionactivitiesareinvolved
(b)injudgingtheratingofmachines
(c)inimprovingindustrialrelations
(d)injudgingtheoutputofamanandimprovingit
(e)wheremenarebiggestcontributortosuccessofaproject.
Ans:a
21.Micromotionstudyis
(a)enlargedviewofmotionstudy
(b)analysisofonestageofmotionstudy
(c)minuteanddetailedmotionstudy
(d)subdivisionofanoperationintotherbligsandtheiranalysis
(e)motionstudyofsmallcomponentsuptomircoseconds.

Ans:d
22.Inmicromotionstudy,therbligisdescribedby
(a)asymbol
(b)anevent
(c)anactivity
(d)micromotions
(e)standardsymbolandcolour.
Ans:e
23.Theallowedtimeforajobequalsstandardtimeplus
(a)policyallowance
(b)interferenceallowance
(c)processallowance
(d)learningallowance
(e)unforeseenallowance.
Ans:a
24.Micromotionstudyinvolvesfollowingnumberoffundamentalhandmotions
(a)8
(b)12
(c)16
(d)20
(e)24.
Ans:c
25.Thestandardtimeforajobis
(a)totalworkcontent
(b)basictime+relaxationtime
(c)totalworkcontent+basictime
(d)totalworkcontent+delaycontigencyallowance
(e)totalworkcontent+relaxationtime.
Ans:d
27.Workstudyisdonewiththehelpof
(a)processchart
(b)materialhandling
(c)stopwatch
(d)alloftheabove
(e)noneoftheabove.
Ans:c

28.Schedulinggivesinformationabout
(a)whenworkshouldstartandhowmuchworkshouldbecompletedduringacertainperiod
(b)whenworkshouldcomplete
(c)thathowidletimecanbeminimised
(d)prcperutilisationofmachines
(e)noneoftheabove.
Ans:a
29.Expeditingfunctionconsistsinkeepingawatchon
(a)operator'sactivity
(b)flowofmaterialandincaseoftroublelocatesourceoftrouble
(c)minimisingthedelays
(d)makingefficientdespatching
(e)noneoftheabove.
Ans:b
30.ChoosethewrongstatementTimestudyisusedto
(a)determineoverheadexpenses
(b)provideabasisforsettingpiecepricesorincentivewages
(c)determinestandardcosts
(d)determinethecapabilityofanoperatortohandlethenumberofmachines
(e)comparealternativemethods.
Ans:a
31.Jobevaluationisthemethodofdeterminingthe
(a)relativeworthofjobs
(b)skillsrequiredbyaworker
(c)contributionofaworker
(d)contributionofajob
(e)effectivenessofvariousalternatives.
Ans:a
32.Micromotionstudyis
(a)analysisofamanworkmethodbyusingamotionpicturecamerawithatimingdeviceinthefieldofview
(b)motionstudyobservedonenhancedtimeintervals
(c)motionstudyofasequenceofoperationsconductedsystematically
(d)studyofmanandmachineconductedsimultaneously
(e)scientific,analyticalprocedurefordeterminingoptimumworkmethod.
Ans:a
33.Percentidletimeformenormachinesisfoundby
(a)worksampling

(b)timestudy
(c)methodstudy
(d)workstudy
(e)ABCanalysis.
Ans:a
34.TMUinmethodtimemeasurementstandsfor
(a)timemotionunit
(b)timemeasurementunit
(c)timemovementunit
(d)techniquemeasurementunit
(e)timemethodunit.
Ans:b
35.Timestudyis
(a)theappraisal,intermsoftime,ofthevalueofworkinvolvinghumaneffort
(b)machinesettingtime
(c)timetakenbyworkerstodoajob
(d)methodoffixingtimeforworkers
(e)methodofdeterminingthepersonnelRequirement.
Ans:a
36.Worksamplingobservationsaretakenonthebasisof
(a)detailedcalculations
(b)convenience
(c)tableofrandomnumbers
(d)pastexperience
(e)fixedpercentageofdailyproduction.
Ans:c
38.Onetimemeasurementunit(TMU)inmethodtimemeasurementsystemequals
(a)0.0001minute
(b)0.0006minute
(c)0.006minute
(d)0.001minute
(e)0.06minute.
Ans:b
39.Basicmotiontimestudygivestimesforbasicmotionsintenthousandthsof
(a)second
(b)minute
(c)hour

(d)day
(e)noneoftheabove.
Ans:b
40.Choosethewrongstatement.Motionstudyisusedfor
(a)improvingaworkmethod
(b)improvisingaworkmethod
(c)designingaworkmethod
(d)providingaschematicframework
(e)reducinginventorycosts.
Ans:e
41.Gnattchartprovidesinformationaboutthe
(a)materialhandling
(b)properutilisationofmanpower
(c)productionschedule
(d)efficientworkingofmachine
(e)alloftheabove.
Ans:c
42.ABCanalysisdealswith
(a)analysisofprocesschart
(b)flowofmaterial
(c)orderingscheduleofjob
(d)controllinginventorycostsmoney
(e)alloftheabove.
Ans:d
43.Processlayoutisemployedfor
(a)batchproduction
(b)continuoustypeofproduct
(c)effectiveutilisationofmachines
(d)alloftheabove
(e)noneoftheabove.
Ans:a
44.Foraproductlayoutthematerialhandlingequipmentmust
(a)havefullflexibility
(b)employconveyorbelts,trucks,tractorsetc.
(c)beageneralpurposetype
(d)bedesignedasspecialpurposeforaparticularapplication
(e)arrangingshopsaccordingtospecialisationofduties.

Ans:d
45.Travelchartsprovide
(a)anideaoftheflowofmaterialsatvariousstages
(b)acompactestimateofthehandlingwhichmustbedonebetweenvariousworksections
(c)theinformationforchangesrequiredinrearrangingmaterialhandlingequipment
(d)anapproximateestimateofthehandlingwhichmustbedoneataparticularstation
(e)solutiontohandlingtechniquestoachievemostoptimumresults.
Ans:b
46.Productlayoutisemployedfor
(a)batchproduction
(b)continuousproduction1
(c)effectiveutilizationofmachine
(d)alloftheabove
(e)noneoftheabove.
Ans:b
48.Theprocesslayoutisbestsuitedwhere
(a)specialisationexists
(b)machinesarearrangedaccordingtosequenceofoperation
(c)fewnumberofnonstandardisedunitsaretobeproduced
(d)massproductionisenvisaged
(e)boughtoutitemsaremore.
Ans:c
49.Alowunitcostcanbeobtainedbyfollowing
(a)productlayout
(b)functionallayout
(c)automaticmaterialhandlingequipment
(d)specializationofoperation
(e)minimumtraveltimeplanandcompactlayout.
Ans:a
50.Militaryorganisationisknownas
(a)lineorganisation
(b)lineandstafforganisation
(c)functionalorganisation
(d)alloftheabove
(e)noneoftheabove.
Ans:a

51.Themaindisadvantageoflineorganisationis
(a)toplevelexecutiveshavetodoexcessivework
(b)structureisrigid
(c)communicationdelaysoccur
(d)alloftheabove
(e)noneoftheabove.
Ans:d
52.Themainadvantageoflineorganisationisits
(a)effectivecommandandcontrol
(b)definedresponsibilitiesatalllevels
(c)rigiddisciplineintheorganisation
(d)abilityofquickdecisionatalllevels
(e)alloftheabove.
Ans:e
53.FrederickW.Taylorintroducedasystemofworkingknownas
(a)lineorganisation
(b)lineandstafforganisation
(c)functionalorganisation
(d)effectiveorganisation
(e)noneoftheabove.
Ans:c
54.Thesalientfeatureoffunctionalorganisationis
(a)strictadherencetospecification
(b)separationofplanninganddesignpart
(c)eachindividualmaintainsfunctionalefficiency
(d)workisproperlyplannedanddistributed
(e)alloftheabove.
Ans:e
55.ThemostpopulartypeoforganisationusedforCivilEngineeringConstructionsis
(a)lineorganisation
(b)lineandstafforganisation
(c)functionalorganisation
(d)effectiveorganisation
(e)noneoftheabove.
Ans:a
56.Templatesareusedfor
(a)aplanninglayout

(b)flowofmaterial
(c)advancingaprogrammeinautomaticmachines
(d)copyingcomplicatedprofiles
(e)noneoftheabove.
Ans:a
57.Insteelplantthemostimportantsystemformaterialshandlingis
(a)conveyors
(b)cranesandhoists
(c)trucks
(d)locos
(e)noneoftheabove.
Ans:d
58.Routingprescribesthe
(a)flowofmaterialintheplant
(b)properutilizationofmanpower
(c)properutilizationofmachines
(d)inspectionoffinalproduct
(e)noneoftheabove.
Ans:a
59.Queuingtheorydealswithproblemsof
(a)materialhandling
(b)reducingthewaitingtimeoridleJajme
(c)betterutilizationofmanservices
(d)effectiveuseofmachines
(e)noneoftheabove.
Ans:b
60.Standardtimeisdefinedas
(a)normaltime+allowances
(b)normaltime+idletime+allowances
(c)normaltime+idletime
(d)onlynormaltimeforanoperation
(e)noneoftheabove.
Ans:a
61.Fatherofindustrialengineeringis
(a)JeckGilberth
(b)Gnatt
(c)Taylor

(d)Newton
(e)noneoftheabove.
Ans:b
62.Thegroupingofactivitiesintoorganisationalunitsiscalled
(a)corporateplans
(b)higherlevelmanagement
(c)functionalauthority
(d)departmentatidn
(e)companypolicy.
Ans:d
63.Whichofthefollowingorganisationispreferredinautomobileindustry
(a)functionalorganisation
(b)lineorganisation
(c)stafforganisation
(d)lineandstafforganisations
(e)scalarorganisation.
Ans:d
64.Whichofthefollowingorganisationsisbestsuitedforsteelplants
(a)functionalorganisation
(b)lineorganisation
(c)stafforganisation
(d)line,staffandfunctionalorganisations
(e)scalarorganisation.
Ans:a
65.Thewastageofmaterialinthestoreistakenintoaccountbythefollowingmethodintheevaluationofthe
materialissuedfromthestore
(a)inflatedsystem
(b)primarycostmethod
(c)currentvaluemethod
(d)fixedpricemethod
(e)variablepricemethod.
Ans:a
66.Whichofthefollowingisindependentofsalesforecast
(a)productivity
(b)inventorycontrol
(c)productionplanning
(d)productioncontrol

(e)capitalbudgeting.
Ans:a
67.Gnattchartsareusedfor
(a)forecastingsales
(b)productionschedule
(c)schedulingandrouting
(d)linearprogramming
(e)noneoftheabove.
Ans:b
68.Inventorymanagementconsistsof
(a)effectiverunningofstores
(b)stateofmerchandisemethodsofstrongandmaintenanceetc.
(c)stockcontrolsystem
(d)alloftheabove
(e)noneoftheabove.
Ans:d
69.Gnattchartsprovideinformationabout
(a)breakevenpointanalysis
(b)productionschedule
(c)materialhandlinglayout
(d)determiningsellingprice
(e)valueanalysis.
Ans:b
70.Inventorycontrolinproduction,planningandcontrolaimsat
(a)achievingoptimisation
(b)ensuringagainstmarketfluctuations
(c)acceptablecustomerserviceatlowcapitalinvestmentininventory
(d)discountsallowedinbulkpurchase
(e)regulatesupplyanddemand.
Ans:c
71.Ininventorycontrol,theeconomicorderquantityisthe
(a)optimumlotsize
(b)highestlevelofinventory
(c)lotcorrespondingtobreakevenpoint
(d)capabilityofaplanttoproduce
(e)noneoftheabove.
Ans:a

72.Statisticalqualitycontroltechniquesarebasedonthetheoryof
(a)quality
(b)statistics
(c)probability
(d)alloftheabove
(e)noneoftheabove.
Ans:c
73.Theappellateauthorityforanindustrialdisputeis
(a)management
(b)labourcourt
(c)highcourt/supremecourt
(d)boardofdirectors
(e)president.
Ans:c
74.UndertheApprenticeshipAct
(a)allindustrieshavetonecessarilytraintheapprentices
(b)industrieshavetotrainapprenticesaccordingtotheirrequirement
(c)allindustriesemployingmorethan100workershavetorecruitapprentices
(d)onlyindustriesemployingmorethan500workershavetorecruitapprentices
(e)allindustriesotherthansmallscaleindustrieshavetotrainapprentices.
Ans:d
75.Standingorderswhicharestatutoryareapplicableto
(a)allindustries
(b)allprocessindustriesandthermalpowerplants
(c)onlymajorindustries
(d)onlykeyindustries
(e)allindustriesemployingmorethan100workers.
Ans:e
76.Acceptancesamplingiswidelyusedin
(a)batchproduction
(b)jobproduction
(c)massproduction
(d)alloftheabove
(e)noneoftheabove.
Ans:c
77.Thetechniqueofvalueanalysiscanbeappliedto

(a)complicateditemsonly
(b)simpleitemsonly
(c)crashprogrammeitemsonly
(d)costconsciousnessitemsonly
(e)anyitem.
Ans:e
78.Theterm'value'invalueengineeringrefersto
(a)totalcostoftheproduct
(b)sellingpriceoftheproduct
(c)utilityoftheproduct
(d)manufacturedcostoftheproduct
(e)depreciationvalue.
Ans:c
79.Valueengineeringaimsatfindingoutthe
(a)depreciationvalueofaproduct
(b)resalevalueofaproduct
(c)majorfunctionoftheitemandaccomplishingthesameatleastcostwithoutchangeinquality
(d)breakevenpointwhenmachinerequireschange
(e)sellingpriceofanitem.
Ans:c
80.Intheperpetualinventorycontrol,thematerialischeckedwhenitreachesits
(a)minimumvalue
(b)maximumvalue
(c)averagevalue
(d)alarmingvalue
(e)originalvalue.
Ans:a
81.AccordingtoMAPIformula,theoldmachineshouldbereplacedbynewonewhen
(a)CAM<DAM
(b)CAM>DAM
(c)CAM=DAM
(d)thereisnosuchcriterion
(e)noneoftheabove.
(CAM=Challenger'sAdverseminimumDAM=Defender'sAdverseminimum)
Ans:a
82.MeritRatingisthemethodofdeterminingworthof
(a)ajob

(b)anindividualemployee
(c)aparticulardivisioninworkshop
(d)machine
(e)overallquality.
Ans:b
83.Materialhandlingandplantlocationisanalysedby
(a)Gnattchart
(b)binchart
(c)Emersonchart
(d)travelchart
(e)activitychart.
Ans:d
84.Workscostimplies
(a)primarycost
(b)factorycost
(c)factoryexpenses
(d)primarycost+factoryexpenses
(e)noneoftheabove.
Ans:d
85.Motionstudyinvolvesanalysisof
(a)actionsofoperator
(b)layoutofworkplace
(c)toolingandequipment
(d)alloftheabove
(e)noneoftheabove.
Ans:a
86.Standardtimeascomparedtonormaltimeis
(a)greater
(b)smaller
(c)equal
(d)thereisnosuchcorrelation
(e)noneoftheabove.
Ans:a
87.Pickuptheincorrectstatementaboutadvantagesofworksampling
(a)permitsafinebreakdownofactivitiesanddelays
(b)simultaneousstudyofmanyoperatorsmaybemadebyasingleobserver
(c)calculationsareeasier,methodiseconomicalandlesstimeconsuming

(d)notimemeasuringdevicesaregenerallyneeded
(e)asoperatorsarenotwatchedforlongperiods,chancesofobtainingmisleadingresultsareless.
Ans:a
88.Inwhichofthefollowinglayouts,thelinesneedtothebalanced
(a)processlayout
(b)productlayout
(c)fixedpositionlayout
(d)plantlayout
(e)functionallayout.
Ans:b
89.Whichofthefollowinglayoutsissuitedformassproduction
(a)processlayout
(b)productlayout
(c)fixedpositionlayout
(d)plantlayout
(e)functionallayout.
Ans:b
90.Whichofthefollowinglayoutsissuitedtojobproduction
(a)processlayout
(b)productlayout
(c)fixedpositionlayout
(d)plantlayout
(e)functionallayout.
Ans:a
91.Theemployeesprovidentfundactisapplicableto
(a)allindustries
(b)allindustriesotherthansmallandmediumindustries
(c)volunteers
(d)theindustriesnotifiedbyGovernment
(e)allmajorindustries.
Ans:d
92.Theamountdeductedfromthesalaryofworkerstowardsemployeesprovidentfundis
(a)creditedintoreservesofcompany
(b)depositedinnationalisedbank
(c)depositedinpostoffice
(d)depositedintheaccountofworkerwithemployerorReserveBankofIndia
(e)depositedintheaccountofworkerwithProvidentFundCommissioner.

Ans:e
93.Thedeductionsfor,employeesprovidentfundstart
(a)immediatelyonjoiningtheservice
(b)after60daysofjoiningtheservice
(c)after100daysofjoiningtheservice
(d)after240daysofjoiningtheservice
(e)afteroneyearofjoiningtheservice.
Ans:d
94.Fatheroftimestudywas
(a)F.W.Taylor
(b)H.L.Gantt
(c)F.B.Gilberfh
(d)R.M.Barnes
(e)H.B.Maynord.
Ans:a
95.Ticktheoddmanout
(a)Taylor
(b)Drucker
(c)McGregor
(d)Galileo
(e)Parkinson.
Ans:d
96.Currentassetsinclude
(a)manufacturingplant
(b)manufacturingplantandequipment
(c)inventories
(d)commonstockheldbythefirm
(e)alloftheabove.
Ans:a
97.Theobjectiveoftimestudyistodeterminethetimerequiredtocompleteajobby
(a)fastworker
(b)averageworker
(c)slowworker
(d)newentrant
(e)anyoneoftheabove.
Ans:b

98.Jobenrichmenttechniqueisappliedto
(a)reducelabourmonotony
(b)overcomeboringanddemotivatingwork
(c)makepeoplehappy
(d)alloftheabove
(e)noneoftheabove.
Ans:d
99.Forshipvesselindustrythefollowinglayoutisbestsuited
(a)processlayout
(b)productlayout
(c)fixedpositionlayout
(d)plantlayout
(e)functionallayout.
Ans:c
100.InHalsey5050plan,outputstandardsareestablished
(a)bytimestudy
(b)frompreviousproductionrecords
(c)fromone'sjudgement
(d)alloftheabove
(e)noneoftheabove.
Ans:b
101.Routingisessentialinthefollowingtypeofindustry
(a)assemblyindustry
(b)processindustry
(c)joborderindustry
(d)massproductionindustry
(e)steelindustry.
Ans:a
102.Anoptimumprojectscheduleimplies
(a)optimumutilisationofmen,machinesandmaterials
(b)lowestpossiblecostandshortestpossibletimeforproject
(c)timelyexecutionofproject
(d)toproducebestresultsundergivenconstraints
(e)realisticexecutiontime,minimumcostandmaximumprofits.
Ans:b
103.Graphicalmethod,simplexmethod,andtransportationmethodareconcernedwith
(a)breakevenanalysis

(b)valueanalysis
(c)linearprogramming
(d)queingtheory
(e)tnaterialhandling.
Ans:c
104.Incrashprogramforaproject
(a)bothdirectandindirectcosts,increase
(b)indirectcostsincreaseanddirectcostsdecrease
(c)directcostsincreaseandindirectcostsdecrease
(d)costisnocriterion
(e)noneoftheabove.
Ans:c
106.Whichoneofthefollowingrepresentsagroupincentiveplan?
(a)ScanlonPlan
(b)RowanPlan
(c)BedauxPlan
(d)TaylorDifferentialPieceRateSystem
(e)HalseyPremiumPlan.
Ans:a
107.IntheHalsey5050plan,thefollowingarerewardedmore
(a)pastgoodworkers
(b)pastpoorworkers
(c)pastaverageworkers
(d)alloftheabove
(e)noneoftheabove.
Ans:b
108.IntheHalseysystemofwageincentiveplan,aworkeris
(a)paidasperefficiency
(b)ensuredofminimumwages
(c)notpaidanybonustillhisefficiency2reaches66%
(d)neveraloser
(e)inducedtodomorework.
Ans:b
109.'Value'forvalueengineeringandanalysispurposesisdefinedas
(a)purchasevalue
(b)saleablevalue
(c)depreciatedvalue

(d)presentworth
(e)function/cost.
Ans:e
110.Breakevenanalysiscanbeusedfor
(a)shortrunanalysis
(b)longrunanalysis
(c)averageofabovetworunanalysis
(d)thereisnosuchcriterion
(e)noneoftheabove.
Ans:a
111.CPMhasfollowingtimeestimate
(a)onetimeestimate
(b)twotimeestimate
(c)threetimeestimate
(d)fourtimeestimate
(e)niltimeestimate.
Ans:a
112.PERThasfollowingtimeestimate
(a)onetimeestimate
(b)twotimeestimate
(c)threetimeestimate
(d)fourtimeestimate
(e)niltimeestimate.
Ans:c
113.InLincolnplan(onetypeofgroupincentiveplan),theamountoftheprofitwhichan.employeereceivesin
additiontotheguaranteedbasicpay/wages,isbasedon:
(a)astandardratingsystem
(b)ameritratingsystem
(c)ajobevaluationsystem
(d)hisindividualperformance
(e)alloftheabove.
Ans:b
114.Whichofthefollowingincentiveplansrensuresapartoftheswingtotheworkerandresttotheemployer
(a)Emersonefficiencyplan
(b)Taylorplan
(c)Halseypremiumplan
(d)Pieceratesystem

(e)Gilberthplan.
Ans:c
115.Whichofthefollowingisnotwageincentiveplan
(a)differentialpieceratesystem
(b)Rowanplan
(c)Emersonplan
(d)Taylorplan
(e)Halseyplan.
Ans:d
117.Whichofthefollowingplansmotivatessupervisorsbypayingapremiumontimesavedbyworkers
(a)Halseyplan
(b)Rowanplan
(c)Haynesplan
(d)Emerson'splan
(e)Taylor'splan.
Ans:c
118.Thetimerequiredtocompleteataskisestablishedandabonusispaidtotheworkerforeveryhourhe
savesfromtheestablishedtimerequired.Thistypeofincentiveplanisknownas
(a)RowanPlan
(b)BedauxPlan
(c)TaylorDifferentialPieceratesystem
(d)HalseyPremiumplan
(e)Dayworkplan.
Ans:d
119.Oneofthebasicessentialsofanincentiveplanisthat
(a)adifferentialpieceratesystemshouldexist
(b)minimumwagesshouldbeguaranteed
(c)provideincentivetogroupefficiencyperformance
(d)allstandardsshouldbebasedonoptimumstandardsofproduction
(e)allstandardsshouldbebasedontimestudies.
Ans:e
120.IntheEmersonefficiencyplan,aworkerreceivesonlyhisdailywageandnobonusispaidtillhisefficiency
reaches
(a)50%
(b)661%
(c)75%
(d)80%

(e)90%.
Ans:b
121.AccordingtoRowanplan,ifH=hourlyrate,A=actualtimeandS=standardtime,thenwageswillbe
(a)HA
(b)HA+(S~A)HA
(c)HA+^^H
(d)HA+^^H
(e)HA+^^HA.
Ans:b
122.IfaworkergetsadailywageofRsHA,thenaccordingtoRowanplan,hismaximumdailyearningscanbe
(a)2HA
(b)1.33HA
(c)1.5HA
(d)1.15HA
(e)2.5HA.
Ans:a
123.InABCcontrolpolicy,maximumattentionisgivento
(a)thoseitemswhichconsumemoney
(b)thoseitemswhicharenotreadilyavailable
(c)thosexitemswhichareinmoredemand
(d)thoseitemswhichconsumemoremoney
(e)properqualityassuranceprogrammes.
Ans:d
124.Whichoneofthefollowingrepresentsagroupincentiveplan?
(a)HalseyPremiumPlan
(b)BedauxPlan
(c)LincolnPlan
(d)RowanPlan
(e)TaylorPlan.
Ans:c
125.Themathematicaltechniqueforfindingthebestuseoflimitedresourcesinanoptimummannerisknown
as
(a)operationresearch
(b)linearprogramming
(c)networkanalysis
(d)queuingtheory
(e)breakevenanalysis.

Ans:b
126.Inorderthatlinearprogrammingtechniquesprovidevalidresults
(a)relationsbetweenfactorsmustbelinear(positive)
(b)relationsbetweenfactorsmustbelinear(negative)
(c)(a)or(b)
(d)onlyonefactorshouldchangeatatime,othersremainingconstant
(e)noneoftheabove.
Ans:c
127.Thelinearprogrammingtechniquescanbeappliedsuccessfullytoindustrieslike
(a)ironandsteel
(b)foodprocessing
(c)oilandchemical
(d)banking
(e)alloftheabove.
Ans:e
128.Thesimplexmethodisthebasicmethodfor
(a)valueanalysis
(b)operationresearch
(c)linearprogramming
(d)modelanalysis
(e)noneoftheabove.
Ans:c
129.Thetwobinsystemisconcernedwith
(a)orderingprocedure
(b)forecastingsales
(c)productionplanning
(d)despatchingandexpediting
(e)noneoftheabove.
Ans:a
130.Thetimerequiredtocompleteajobisestablishedandabonusispaidtotheworkerbasedontheexact%
oftimesaved.Thistypeofincentiveplanisknownas
(a)DryworkPlan
(b)HalseyPremiumPlan
(c)TaylorPlan
(d)BedauxPlan
(e)RowanPlan.
Ans:e

131.Replacementstudiesaremadeonthefollowingbasis:
(a)annualcostmethod
(b)rateofreturnmethod
(c)totallifeaveragemethod
(d)presentworthmethod
(e)anyoneoftheabove.
Ans:e
132.Stringdiagramisused
(a)forcheckingtherelativevaluesofvariouslayouts
(b)whenagroupofworkersareworkingataplace
(c)whereprocessesrequiretheoperatortobemovedfromoneplacetoanother
(d)alloftheabove
(e)noneoftheabove.
Ans:d
133.Whichofthefollowingdepreciationsystemensuresthattheinterestbechargedonthecostofmachine
asseteveryyearonthebookvalue,buttherateofdepreciationeveryyearremainsconstant
(a)sinkingfundmethod
(b)straightlinemethod
(c)ABCchargingmethod
(d)annuitychargingmethod
(e)diminishingbalancemethod.
Ans:d
134.Bincardisusedin
(a)administrativewing
(b)workshop
(c)foundaryshop
(d)stores
(e)assemblyshop.
Ans:d
135.Slackrepresentsthedifferencebetweenthe
(a)latestallowabletimeandthenormalexpectedtime
(b)latestallowabletimeandtheearliestexpectedtime
(c)proposedallowabletimeandtheearliestexpectedtime
(d)normalallowabletimeandthelatestexpectedtime
(e)projectinitiationtuneandactualstartingtime.
Ans:b

136.PERTandCPMare
(a)techniquestodetermineprojectstatus
(b)decisionmakingtechniques
(c)chartswhichincreaseaestheticappearanceofrooms
(d)aidstodeterminecostimplicationsofproject
(e)aidstothedecisionmaker.
Ans:e
137.AbigadvantageofPERToverGanttchartsisthatintheformercase
(a)activitiesandeventsareclearlyshown
(b)earlystartandlatefinishofanactivityareclearlymarked
(c)activitytimesareclear
(d)criticalpathcanbeeasilydetermined
(e)interrelationshipamongactivitiesisclearlyshown.
Ans:e
138.CPMisthe
(a)timeorientedtechnique
(b)eventorientedtechnique
(c)activityorientedtechnique
(d)targetorientedtechnique
(e)workorientedtechnique.
Ans:c
139.PMTP(predeterminedmotiontimesystems)include
(a)MTM(methodtimemeasurement)
(b)WFS(workfactorsystems)
(c)BNTS(basicmotiontimestudy)
(d)alloftheabove
(e)noneoftheabbvev
Ans:d
140.Workstudycomprisesfollowingmaintechniques
(a)methodstudyandworkmeasurement
(b)methodstudyandtimestudy
(c)timestudyandworkmeasurement
(d)methodstudyandjobevaluation
(e)valueanalysisandworkmeasurement.
Ans:a
141.Whichofthefollowingequationsisnotinconformitywithothers
(a)organisationperformancexmotivation=profits

(b)knowledgexskill=ability
(c)abilityxmotivation=performance
(d)attitudexsituation=motivation
(e)performancexresources=organisationperformance.
Ans:a
142.PERTisthe
(a)timeorientedtechnique
(b)eventorientedtechnique
(c)activityorientedtechnique
(d)targetorientedtechnique
(e)workorientedtechnique.
Ans:b
143.ThebasicdifferencebetweenPERTandCPMisthat
(a)PERTdealswitheventsandCPMwithactivities
(b)criticalpathisdeterminedinPERTonly
(c)costsareconsideredonCPMonlyandnotinPERT
(d)guessedtimesareusedinPERTandevaluatedtimesinCPM
(e)PERTisusedinworkshopsandCPMinplants.
Ans:d
145.Queingtheoryisusedfor
(a)inventoryproblems
(b)trafficcongestionstudies
(c)jobshopscheduling
(d)alloftheabove
(e)noneoftheabove.
Ans:d
146.Inqueuingtheory,thenatureofthewaitingsituationcanbestudiedandanalysedmathematicallyif
(a)completedetails'ofitemsin,waitinglineareknown
(b)arrivalandwaitingtimesareknownandcanbegroupedtoformawaitinglinemodel
(c)allvariablesandconstantsareknownandformalinearequation
(d)thelawsgoverningarrivals,servicetimes,andtheorderinwhichthearrivingunitsaretakenintosourceare
known
(e)alloftheabove.
Ans:d
147.Queingtheoryisassociatedwith
(a)sales
(b)inspectiontime

(c)waitingtime
(d)productiontime
(e)inventory.
Ans:c
148.Thereasonswhicharebasicallyresponsiblefortheformationofaqueueshouldbethat
(a)theaverageservicerateHHessthantheaveragearrivalrate
(b)outputrateislinearlyproportionaltoinput
(c)outputrateisconstantandtheinputvariesinarandommanner
(d)alloftheabove
(e)noneoftheabove.
Ans:d
149.MonteCarlosolutionsinqueuingtheoryareextremelyusefulinqueuingproblems
(a)thatcan'tbeanalysedmathematically
(b)involvingmultistagequeuing
(c)toverifymathematicalresults
(d)alloftheabove
(e)noneoftheabove.
Ans:a
151.Amilestonechart
(a)showstheinterdependenceofvariousjobs
(b)depictsthedelayofjobs,ifany
(c)pointsoutgoingaheadofscheduleofjobs,ifany
(d)alloftheabove
(e)noneoftheabove.
152.Barchartsaresuitablefor
(a)minorworks
(b)majorworks
(c)largeprojects
(d)alloftheabove
(e)noneoftheabove.
153.Thefirstmethodinventedforplanningprojectswas
(a)barchartmethod
(b)milestonechart
(c)criticalpathmethod(CPM)
(d)programmeevaluationandreviewtechnique(PERT)
(e)noneoftheabove.

154.Pickupthecorrectstatementfromthefollowing
(a)programmeevaluationandreviewtechniqueiseventoriented
(b)programmeevaluationandreviewtechniqueisnoteventoriented
(c)criticalpathmethodiseventoriented
(d)critical.pathmethodisnotactivityoriented
(e)noneoftheabove.
155.Pickupthecorrectstatementfromthe
following
(a)criticalpathmethodisanimprovementuponbarchartmethod
(b)criticalpathmethodprovidesarealisticapproachtothedailyproblems
(c)criticalpathmethodavoidsdelayswhichareverycommoninbarchart
(d)criticalpathmethodwasinventedbyMorganR.WalkerofDupotandJamesE.KelleyofRemingtonU.S.Ain
1957
(e)alloftheabove.
156.PickupthecorrectstepusedforschedulingaprojectbyC.P.M.
(a)aprojectisdividedintovariousactivities
(b)requiredtimeforeachactivityisestablished
(c)sequenceofvariousactivitiesismadeaccordingtotheirimportance
(d)networkisdrawnbyconnectingtheactivitiesandtheevents
(e)alloftheabove.
157.Thetimeofcompletingaprojectinnetworkanalysisisgivenbyfollowingtimeofthecriticalactivitymeeting
atthefinalepisode
(a)earlyfinish
(b)earlystart
(c)latestart
(d)latefinish
(e)noneoftheabove.
158.Thedisadvantageofproductlayoutis
(a)highinitialinvestmentforthespecializedfacilities
(b)skilledlabourtooperatemachines
(c)productiontimeislonger,requiringmoregoodsininventory
(d)highcostofinspection
(e)costlyandcomplexproductioncontrol.
159.Emergencyrushordercanbepushedmoreeffectivelyin
(a)jobproduction
(b)automaticproduction
(c)continuousproduction
(d)intermittentproduction

(e)noneoftheabove.
160.Routingassistsengineersindecidinginadvance
(a)theflowofmaterialintheplant
(b)themethodsofproperutilizationofmanpower
(c)themethodsofproperutilizationofmachines
(d)thelayoutoffactoryfacilities
(e)normalrouteofworkersthroughtheplant.
161.TheperformanceofaspecifictaskinCPMisknownas
(a)dummy
(b)event
(c)activity(d)contract
(e)noneoftheabove.
162.Pickuptheincorrectstatementfromthefollowing
(a)anactivityoftheprojectisdenotedbyanarrowonthenetwork
(b)thetailofthearrowindicatesthestartoftheactivity
(c)theheadofthearrowindicatestheendof,theactivity!
(d)thearrowsaredrawn(toscalefrom)lefttoright
(e)eachactivityconsumesagiventime
163.Theartificialactivitywhichindicatesthatanactivityfollowingitcannotbestartedunless,thepreceding
activityiscomplete,isknownas
(a)event
(b)freefloat
(c)artificial
(d)constraint
(e)dummy.
164.Adummyactivity
(a)isartificiallyintroduced
(b)isrepresentedbyadottedline
(c)doesnotrequireanytime
(d)alloftheabove
(e)noneoftheabove.
165.IfE>istheduration,ESandEFaredieearlieststartandfinishtimes,LSandLFarelateststartandfinish
times,thenthefollowingrelationholdsgood
(a)EF=ES+D
(b)LS=LFD
(c)LF=LS+D

(d)D=EFES
(e)alloftheabove.
166.Thedifferencebetweenthetimeavailabletodothejobandthetimerequiredtodothejob,isknownas
(a)event
(b)float
(c)duration
(d)constraint
(e)noneoftheabove.
167.TheprobabilitydistributionofactivitytimesinPERTfollowsfollowingdistribution
(a)normal
(b)binomial
(c)beta
(d)exponential
(e)Gaussian.
168.TheprobabilitydistributionofprojectcompletioninPERTfollowsfollowingdistribution
(a)normal
(b)binominal
(c)beta
(d)exponential
(e)Gaussian.
169.IfTListhelargestallowableeventoccurrencetime,totalactivityslack(s)isequalto
(a)lateststarttimeearlieststarttime
(b)latestfinishtimeearliestfinishtime(EFT)
(c)TLEFT
{d)alltheabove
(e)noneoftheabove.
170.Thecriticalactivityhas
(a)maximumfloat
(p)minimumfloat
(c)zerofloat,
(d)averagefloat
(e)noneofthese.
171.Thetimebywhichtheactivitycompletiontimecanbedelayedwithoutaffectingthe
startofsucceedingactivities,isKnownas
(a)duration
(b)totalfloat

(c)freefloat
(d)interferingfloat
(e)noneoftheabove.
172.Thecriticalpathofanetworkrepresents
(a)theminimumtimerequiredforcompletionofproject
(b)themaximumtimerequiredforcompletionofproject
(c)maximumcostrequiredforcompletionofproject
(d)minimumcostrequiredforcompletionofproject
(e)noneoftheabove.
173.Pickupthecorrectstatementfromthefollowing
(a)thefloatmaybepositive,zeroornegative
(b)ifthefloatispositiveandtheactivityisdelayedbyaperiodequaltoitstotalfloat,thecompletionofprojectin
notdelayed
(c)ifthefloatofanactivityisnegative,delayinitsperformanceisboundtodelaythecompletionofproject
(d)ifthefloatofanactivityiszero,theactivityiscriticalandanydelayinitsperformancewilldelaythewhole
project
(e)alloftheabove.
174.Criticalpathmovesalongtheactivitieshavingtotalfloatof
(a)positivevalue
(b)negativevalue
(c)zerovalue
(d)samevalue
(e)noneoftheabove.
175.CriticalPathNetWorkhelpsanengineer
(a)toconcentratehisattentiononcriticalactivities
(b)todiverttheresourcesfromnoncriticaladvancedactivitiestocriticalactivities
(c)tobecautiousforavoidinganydelayinthecriticalactivitiestoavoiddelayofthewholeproject
(d)alloftheabove
(e)noneoftheabove.
177.Thetimewhichresultsintheleastpossibledirectcostofanactivityisknownas
(a)normaltime
(b)slowtime
(c)crashtime
(d)standardtime
(e)noneoftheabove.
178.Thetechniqueforestablishingandmaintainingprioritiesamongthevariousjobs

ofanyprojectisknownas
(a)eventflowschedulingtechnique
(b)criticalratioscheduling
(c)slottingtechniqueforscheduling
(d)shortintervalscheduling
(e)noneoftheabove.
179.Pickuptheincorrectstatementfromthefollowing.Acriticalratioscheduling
(a)establishestherelativeprioritiesamongvariousactivitiesonacommonbasis
(b)determinesthestatusofeachactivity
(c)adjustsautomaticallychangesinactivityprogress
(d)isadynamicsystem
(e)noneoftheabove.
181.PERTis
(a)ananalytictoolinconcept'(b)limitupofeventorienteddiagrams
(c)usedforresearchanddevelopmentprojects
(d)basedonthreetimeestimatesforactivitieslinkinguptwoevents
(e)alloftheabove.
182.CPMis_____.
(a)synthesisinginconcepts
(b)isbuiltofactivitiesorientedprogrammes
(c)is,basedononetimeeytimate
(d)isusedforrepetitiveworks
(e)alloftheabove.
183.ACPMfamilyincludes
(a)CPA(CriticalPathAnalysis)
(b)CPP(CriticalPathPlotted)
(c)MCE(MinimumCostExpenditure)
(d)CPS(CriticalPathScheduling)
(e)alloftheabove.
184.PERT/CPM,techniquescanbeusedforfollowingapplications
(a)oncethroughproject
(b)maintenancejobs
(c)researchanddevelopment
(d)allnontechnicaljobs
(e)alloftheabove.
185.PERTanalysisisbasedon

(a)optimistictime
(b)pessimistictime
(c)mostlikelytime
(d)alloftheabove
(e)noneoftheabove.
186.Discrepanciesofbarcharttechniquesare
(a)consequentialeffectsoflackinoneactivityonomer
(b)consequentialeffectsoflackinoneactivityonthefinishdate
(c)freetimeavailableforanactivitycan'tbepredicted
(d)effectivemonitoring/controllingcan'tbedone
(e)alloftheabove.
187.OonaPERT/CPMchartrepresents
(a)anordinaryevent
(b)asignificanteventrepresentingsomemilestone
(c)aneventtobetransferredtoothernetworkchart
(d)danglingevent
(e)dummyevent.
188.[]onaPERT/CPMchartrepresents
(a)anordinaryevent
(b)asignificanteventrepresentingsomemilestone
(c)aneventtobetransferredtoothernetworkchart
(d)danglingevent
(e)dummyevent.
190.Pickupthecorrectstatement.DummyactivityonaPERT/CPMchartmeans,it
(a)consumestime,butnoresources
(b)consumesresourcesbutnotime
(c)consumesneithertimenorresources
(d)isadanglingevent
(e)consumesbothresourcesandtime.
191.CriticalpathonPERT/CPMchartisobtainedbyjoiningtheeventshaving
(a)maximumslack
(b)minimumslack
(c)averageslack
(d)noslack
(e)judgementandexperience.
192.SlackofvariouseventsonthecriticalpathinPERT/CPMchart

(a)increasescontinuously
(b)decreasescontinuously
(c)remainsconstant
(d)mayincreaseordecreasedependingonvariousfactors
(e)unpredictable.
193.TheassumptioninPERTis
(a)aprojectwillalwaysbebehindschedule,ifleftuncorrected
(b)costofprojectwillalwaysbemorethantheestimatedcost,ifnotimelycorrectionsaretaken
(c)aprojectcanbesubdividedintoasetofpredictable,independentactivities
(d)activitiesarefixedandcan'tbechanged,
(e)commissioningtimecanbechanged,ifactivitiesarebehindschedule.
194.Activitys,lackorfloatofanyeventonaPERT/CPMchartisrepresentedby
(a)lateststarttimeofsucceedingeventearliestfinishtimeofprecedingeventactivitytime
(b)lateststarttimeoftheeventearlieststarttimeoftheevent
(c)latestfinishtimeofeventearliestfinishtimeoftheevent
(d)anyoneoftheabove
(e)noneoftheabove.
195.TheimportantfileinmakingaPERTis
(a)aneventcan'tbeaccomplisheduntilactivitiesleadingtoitarecompleted
(b)noactivityfromanyeventcanbestartedfromprecedingeventtillitiscompleted
(c)lengthofarrowhasnothingtodowithtime
(d)everyactivitymustbecompletedbeforeendpointisreached
(e)alloftheabove.
196.Aneventisindicatedonthenetworkby
(a)astraightline
(b)anumberenclosedinacircleorasquare
(c)astraightlinewithcirclesattheends
(d)adottedline
(e)anarrow.
197.InaPERTchart
(a)allactivitiesshouldbenumbered
(b)onlyimportantactivitiesshouldbenumbered
(c)onlycriticalactivitiesarenumbered
(d)onlyselectedactivitiesarenumbered
(e)noactivityisnumbered.
198.PositiveslackonaPERTindicatesthatprojectis

(a)aheadofschedule
(b)beyondschedule
(c)asperschedule
(d)oncriticalpath
(e)noneoftheabove.
199.Pessimistictimeis
(a)themaximumtimewhichanactivitymightrequire
(b)theaveragetimerequiredforajob
(c)themostprobabletimeconsideringallconditions
(d)theminimumtimeinwhichanactivitycanpossiblybeaccomplished
(e)theearliestfinish.
200.InPERTanalysis,criticalpathisobtainedbyjoiningeventshaving
(a)+veslack
(b)veslack
(c)zeroslack
(d)dummyactivities
(e)criticalactivities.
201.Theslackonvariouseventsatcriticalpathwillbe
(a)sameasattheendpoint
(b)decreasingproportionaltothatattheendpoint
(c)increasingproportionaltothatattheendpoint
(d)maximumcomparedtootherevents
(e)noneoftheabove.
202.AcriticalpathonaPERTchart
(a)startsfromstartpointandendsatendpoint
(b)startsfromstartpointandmayendanywhere
(c)maystartfromanywherebutendsatendpoint
(d)maystartandendatanypoint
(e)noneoftheabove.
203.Capitalexpendituremeans
(a)expensesincurredinacquiringcapital
(b)mainexpenditure
(c)recurringexpenditure
(d)expenditureonprocurementoffixedassets
(e)expenditureonproperty.
205.Arupeereceivedoneyearhenceisnottheequivalentofarupeereceivedtoday,becausetheuseof

moneyhasavalue.Thisistheprincipleunder
(a)paybackmethod
(b)averagereturnoninvestmentmethod
(c)presentvaluemethod
(d)discountedcashflowmethod
(e)costaccountingmethod.
206.Theequalpaymentseriessinkingfundfactorforagivennumberofyears(n)isusedtocalculate
(a)equalpaymentstobemadeattheendofeachyearwhencompoundamountafternyearsisgiven
(b).compoundamountafternyearswhenpaymentstobemadeeachyeararegiven
(c)presentnetworthwhenpaymentstobemadeeachyeararegiven
(d)equalpaymentstobemadeattheendofeachyearwhenpresent,networthisgiven
(e)presentnetworthwhenthecompoundamountafternyearsisgiven.
207.Allfinancialdecisionsonanyprojectappraisalarebasedonthe
(a)futurevalueofmoney
(b)presentvalueofmoney
(c)opportunitycostofmoney
(d)anyoneoftheabove
(e)noneoftheabove.
208.Thecapitalandrunningcostsofsimilarmachineshavingunequalservicelifecanbecomparedby
(a)presentnetworthmethod
(b)rateofreturnmethod
(c)equivalentannualcostmethod
(d)capitalisedcostmethod
(e)depreciationmethod.
212.InProjectappraisal,theterm'externalities'refersto
(a)extraneouselements
(b)unknownfactors
(c)unforeseenfactors
(d)indirectbenefitsandindirectcosts
(e)itemsoverwhichthereisnocontrol.
213.Thecriteriontodecidebetweenvariousalternativesinprojectappraisalis
(a)netpresentvaluecriterion
(b)benefit/costratiocriterion
(c)internalrateofreturncriterion
(d)anyoneoftheabove
(e)noneoftheabove.

214.Thebenefit/costratiocriterionisusedtodecidebetweenvariousalternativesinaprojectappraisalfor
comparing
(a)identicalprojects
(b)similarprojects
(c)dissimilarprojects
(d)allprojects
(e)noneoftheabove.
215.Capitalizedcostcomparisonmethodisusedforcomparingalternativeshaving
(a)highinitialcost
(b)highmaintenancecost
(c)highservicelife
(d)highelectricityconsumingdevices
(e)highrunningcost.
216.Internalrateofreturnisthatdiscountratewhichmakesthevalueofnetpresentvalueequalto
(a)zero
(b)1
(c)infinity(d)some+vevalue
(e)somevevalue.
217.Foraprojecttobefeasible,internalrateofreturnshouldbegreaterthan
(a)zero
(b)1
(c)rateofinterestforloan
(d)expenses
(e)losseslikelytobeincurred.
218.Inprojectappraisalstudies'intangibles'arethoseitemswhichcan
(a)bequantifiedintermsofmoney
(b)bequantifiedbutcan'tbeconvertedintomoneyterms
(c)neitherbequantifiednortranslatedinmoneyterms
(d)notbeconsideredandareusuallyignored
(e)receivehighestpriority.
219.Simplexmethodisusedfor
(a)linearprogramming
(b)queuingtheory
(c)networkanalysis
(d)valueengineering
(e)alloftheabove.

220.Depreciationofmachinesiscategorizedunderthehead
(a)directexpenses
(b)indirectexpenses
(c)receipts
(d)administrativeexpenses
(e)indirectmaterialcosts.
221.Depreciationofmachines,accordingtoincometaxregulationsiscalculatedonthebasisoffollowing
method
(a)straightline
(b)sinkingfund
(c)machinehour
(d)rateofreturn
(e)decliningbalance.
222.Inprojectappraisalanalysis,shadowpricesare
(a)usedforlostitems
(b)usedtoconvertinputsintocostandoutputintobenefits
(c)usedtodeterminefeasibilityofproject
(d)takenasthebasisfordeterminingvalueofalltheassets
(e)noneoftheabove,
223.Cashdiscountsarereductioninpriceofgoods
(a)soldoncredit
(b)whichdependsonassuranceofpayment
(c)whichdependsonpromptcashpayment
(d)obtainableonbaddebtloans
(e)whichhavegoodbargainingcapacityofseller.