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V M PATEL INSTITUTE OF MANAGEMENT I AMPICS Ganpat University

Mid Semester Examination, MBA Semester IV

Strategic Human Resource Management Time: 2.5 Hrs. Date: 02/04/2013 Wt: 30 marks

All questions are compulsory. Figure in right indicates marks for the question.

Q#l What are the most important societal trends affecting HR today? 6

Q#2 Compare and contrast the premises and assumptions of strategic human resource 6

management for the manufacturing based organization and service based

organization.

Q#3 What role might human resource planning play m each of the following 6

organization?

1. Small rapidly growing technology company

2. State government agency working in social services

3. Well established outsourcing company

4.

Q#4 What barriers to change exist in most organizations, and how can they be overcome? 6

Q#S What are the major strategic choices an organization faces concerning staffing? What 6

are the advantages and disadvantages of each alternative?

--END OF PAPER--

V M PATEL INSTITUTE OF MANAGEMENT I AMPICS Ganpat University

Mid Semester Examination, MBA Semester IV

International Human Resource Management Time: 2.5 Hrs. Date: 03/04/2013 Wt: 30 marks

All questions are compulsory. Figure in right indicates marks for the question.

Q#l What are the stages a firm typically goes through as it grows internationally and 6 how does each stage affect the HR function?

Q#2 How effective are expatriates in transferring knowledge and competences? 6

Q#3 What is the difference between global manager and global mindset? 6

Q#4 What are the main points multinational firms must consider when deciding how to 6 provide ben~fi~~:?

Q#S How can multinationals assist dual career couples'·tepatriation? 6

--END OF PAPER--

V M PATEL INSTITUTE OF MANAGEMENT/ AMPICS Ganpat University

Mid Semester Examination, MBA Semester IV

Legal Environment of HRM Time: 2.5 Hrs Date: 01104/2013 Wt: 30 Marks

Instructions: 1. Figures to the right indicate individual marks of each question. 2. Be to the point & precise in answering each question. 3. Quote relevant examples in each question.

Q # 1 What are the objectives ofthe Payment ofWages Act, 1936 What are the (6) authorized deductions under it?

Q # 2 Write short notes on the following (6) a. Industrial Disputes. b. Difference between dismissal & suspension.

Q # 3 Explain the process of domestic inquiry. Briefly explain the role of inquiry (6) officer in it.

Q # 4 Describe the following; (6) a. Leave for Miscarriage & other leave as perThe Maternity Benefit

Act, 1961 . b. ·Forfeiture of Maternity Benefit.

Q # 5 Read the following case and answer the questions given at the end. (6)

On every working day, when the Workers canteen of the company is opened at 8 a.m., there would be a big rush of employees for purchase of snacks and tea Normally, employees stand in queue for the purchase of various items from two different counters. The canteen remains open for half-an-hour and all employees who come there can conveniently purchase eatables, if they stand in queue.

On February 14, 1995, at about 8.15 a.m., Harvindar, Fitter, bearing Token No. 45 came to the canteen when in both counters people were standing in queue. Harvinder, who normally avoids standing in queue, tried to purchase the snacks through Vinod, a co-worker, bearing Token No. 84, who was in the queue. This was objected to by Ramlal, Welder, Token No. 88, who was standing just behind Vinod. Arguments started between Harvinder and Ramlal. They were both angry and in the process, Harvinder gave a slap to Ramlal. The canteen supervisor, Joseph, intervened and separated them.

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Incidentally, both Harvinder and Ramlal were active members of two different rival unions operating at the plant level. As per company's certified Standing Order No. 23(i), 'Riotous, disorderly or indecent behavior within the company's premises is misconduct'. The works manager is the disciplinary authority as per the Standing Orders.

Questions:

a. What is the problem in the case? Discuss.

b. Advise the works manager on the steps for handling this case.

c. Draft a charge sheet to be issued to the employee concerned for his misconduct.

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V.M.PATEL INSTITUTE OF MANAGEMENT/AMPICS Ganpat University

Mid Semester Examination, MBA Semester IV

Time: 2.5 Hrs. Strategic Financial Management

Date: 03.04.2013 Wt: 30 Marks INSTRUCTION:

• Right hand side indicates marks • Answer to the point • This is closed book examination. • Give appropriate example when needed

~1 ~ (A) Distinguish between factoring and forfeiting (B) Explain mechanism of bill discounting

Q#2 (8) (A) Reliance Industries taken loan amounting Rs.50282300 for five years period with

agreement of paying fiv~ equal annual Installments (EAI) of Rs. 15000000 at the · end of each year. You are required to prepare interest charged each year in P&L account of company based on i) SOYD, ii) Effective rate of interest and iii) SLM.

(B) J&K Ltd. is in business of manufacturing Laptops. Currently, in capital structure of J&K Ltd. weighted cost of capital is 15 per cent, cost of debt 18 per cent and comes in to 35 per cent tax slab. J&K Ltd. decides to expand business with introducing q~w product Palmtops, which required initial investment of Rs.1200000 for buying machineries. Useful life of machine is 5 years with salvage value of Rs.1 00000 at the end of 5 year. Depreciation of machine is done with WDV method with 20 per cent. You are required to calculate break-even point at which J&K Ltd. may prefer lease instead of borrow and buy option.

Q#3 XYZ Ltd. Consider company ABC Ltd for the purpose of acquisition. Company ABC Ltd. has currently revenue of Rs.1 000000 with expected growth of 20 percent for first 3 years and growth of 3 per cent then after. Profit margin in company is 20. per cent. with 40 percent applicable tax rate. Company ABC Ltd' required investing 10 per cent of available fund in first three year of super normal growth and 5 per cent then after. Current cost of capital for XYZ Ltd is 1 0 per cent. You are required to find out:

A. What is valuation of ABC Ltd for XYZ Ltd? B. If no inv~ent required in normal growth period what may change in

valuation of ABC Ltd? C. If tax rate decrease to 40 per cent in a) and b) what may new valuation? D. Giver your suggestion if ABC Ltd is available to. XYZ Ltd at Rs.500000.

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(8)

Q#4 Reliable Industries Ltd. (RIL)

The RIL is presently managing its account receivables internally by the sales and credit department. Its credit terms for sales are 2110 net, 30. The past experience of RIL has been that on an average 30 per cent of the customers avail ' of the discount, while the balance of the receivables is collected on an average 60 days after the invoice date. Further, 2 per cent of the sales turnover results into bad debts.

The firm is financing its investments in receivables through a mix of bank finance and long-term finance in the ratio of 2:1 . The effective rate of interest on bank finance is 22 per cent and the cost of own funds is 30 per cent.

The projected sale for the next year is Rs.500 lakh. The credit and collection department spends on an average one-fourth of its time on collecting receivables.

A proposal to avail of factoring service from Fairgrowth Factor Ltd.(FFL) as an alternative to in-house management of receivables collection and credit monitoring is under the consideration of the Board of Directors (BoD) of the RIL. , If the proposal, details of which are given below, is accepted it is expected that the projected sale for the next year can increase by Rs.50 lakh as result of the diversion of the time of the executives of the sales, credits and collection department to sales promotion. For the type of product that RIL is producing, the gross margin on sales in the past has been 20 per cent. Moreover, there would be a saving in administrative overheads amotinting to Rs.2.5 lakh due to discontinuance of sales ledger administration and credit monitoring. According to the factoring proposal, the FFL offers a guaranteed payment of 30 days. The other details are listed below:

The FFL would advance 80 per cent and 85 per cent in case of recourse (R) and non-recourse (NR) factoring deal respectively; the balance would be retained as factor reserve. The discount charge in advance (up-front) would be 22 per cent and 21 per cent for R and NR respectively. The FFL would also charge a commission (up-front)@ 2 per cent and 4 per cent for Rand NR respectively.

Before taking decision on the proposal, the BoD seeks your advice, as a financial consultant, on the course of action. What advice would you give? Support your answer with necessary calculation.

END OF PAPER

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(8)

V M PATEL INSTITUTE OF MANAGEMENT/ AMPICS Ganpat University

Mid Semester Examination, MBA Semester IV Working Capital Management

Time: 2.5 Hrs. Date: 01.04.13 Wt: 30 Marks

Instructions: (I) It is a closed book examination (2) All questions are compulsory. (3) Figures to the right indicate the weightage of the question.

Q# I What is meant by balance averaging and why it is important in managing an ( 5 ) efficient concentration system? Write down the objective functions of a cash disbursement system.

Q#2 Define the following terms ( 5 ) a) Permanent source of financing b) Temporary source ofFinancing c) Spontaneous source of financing

Q#3(A) ABC ltd is trying to convert as many of its transfers to wire transfer as ( 3) possible. Presently they are using drafts at the cost of Rs 14 per transfer. A wire transfer will cost Rs 18 and would accelerate collection by 2 days. Excess funds are investable in a commercial paper with an average yield of 6.4% annually. Calculate minimum amount of a transfer for which the use of wire will be economically acceptable?

Q#3(B) The credit terms for two suppliers are a follows Supplier -- - - - Credit terms XYZ 1/10 net 46 ABC 1/10 net 30

a) Detem1ine the approximate cost of giving up the discount from each supplier

b) Assume the firm needs short term borrowing to avail the cash discount recommend whether it would be better to give up cash discount or borrow from bank @15% to avail the discount.

( 2)

Q#4 It is June 30 and the ABC company is trying to forecast cash inflows for the ( 5) next 6 months of the year. The following credit sales information is available (in crores)

Apr 30 May 35 June 30 actual July 45 Aug 70 Sep 150 Forecast Oct 200 Nov 125 Dec 45 Forecast

From prior studies the treasurer has determined that approximately 75% of the sales are uncollected in the month of sale. 50% still uncollected at the end of 1 month after the sale. 20% are uncollected 2 months after the sale. The last 20% with the exception of bad debts (2% of sales) are collected in the third month after the sale.

Page 1 of2

a) Forecast the cash inflow by months from July through December b) Forecast the account receivable at the end of each month ( bad debts

are written off at the end of 3 rd month)

Q#5 A firm has confirmed that its daily cash flows are in accord with the ( 5 ) assumptions of the Miller Orr Model. Based on the historic data it has been determined that the Standard deviation of the daily cash flows is Rs. 2,00,000. Interest rate on short term interests are 14% per year (assume 360 days a year). Each investment or disinvestment costs the firm Rs 150. The firm's bank requires a minimum cash balance of Rs 5, 00,000. This is the firms lower control limit.

a) Calculate the return point and upper control limit b) Assume that the forms initial cash balance is 10,00,000 and it

experiences the following cash flows over the first seven days

Days Net cash Flow 1 -3,00,000 2 -4,00,000 3 5,00,000 4 -2,00,000 5 9,00,000 6 2,00,000 7 7,00,000

Using the control limits and return point calculated list down the transactions that would occur for this series of cash flows. Give the amount of any purchases and sales of short term investments.

Q#6 A firm has steady inflows and periodic outflows and wants to use the Berenek ( 5 ) model to manage its cash. Cash outflow occurs once a month and the amount of the next expected cash outflow is Rs. 2.36 crores . It costs Rs. 140 to make an investment or a disinvestment. The yearly interest rate is 7%. Calculate:

a) The optimal number of transactions b) The amount of the periodic investment c) The amount of final withdrawal d) Net profit from this strategy

END OF PAPER

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V M PATEL INSTITUTE OF MANAGEMENT/ AMPICS

Ganpat University Mid Semester Examination, MBA Semester IV

International Financial Management

Time: 2.5 Hrs. Date:02/04/2013 Wt: 30 Marks

Instructions: 1. Figures to the right indicate marks of each question. 2. All questions are compulsory. 3. This is closed book examination.

Q#l Why financial manager is required to understand international finance? ( 4)

Q#2 Assume that cross rate trader at Deutche Bank notices that Credit Lyonnais is (5) buying dollars at S(€/$) = 0.7627 the same as Deutche Bank's bid price. Similarly he observes that Barclays is Buying British pounds at S ($/£) =

1.9072 also the same as Deutche Bank. He next finds that Credit Agricole is making a direct market Between the euro and the pound, with a current ask of S (€/£) = 1.4490.The Credit Agricole is offering to sell British pounds at a rate of S(€/£) = 1.4490 and a person( trader) has $5,000,000 .Calculate is there any arbitrage opportunities exist ? How would you make profit from it.

Q#3 What is balance of payment accounting? Discuss the component of (5) balance of payment and also discuss the term unilateral transfers.

Q#4 A speculator is considering the purchase of five three month Japanese (5) yen call option with striking price of 96 cents per 100 yen. The premium is 1.35 cents per yen. The spot price is 95.28 cents per 100 yen and the 90 days forward rate is 95.71 cents. The speculator believes the yen will appreciate to $1.00 per 100 yen over the next three months. As the speculator's assistant, you have been asked to ·prepare the following 1.Graph the call option cash flow schedule. 2 .Determine the speculator profit if yen appreciates of $1.00/1 00 yen. 3. determine the speculator's profit if the yen appreciates only to the forward rate. 4. Determine the future spot price at which the speculator will only break even.

Page 1 of 2

Q#S a)Discuss how to measure Economic exposure

b )The current Spot exchange rate is $1.95/f.on the basis of your analysis of the exchange rate, you are pretty confident that the spot exchange rate will be $1.92/£ in three months. Assume that you would like to buy or sell £1,000,000. What action do you need to take to speculate in the forward market? What is expected dollar profit from speculation?

(6)

Q#6 Farm Products is the Canadian affiliate of a US manufacturing company. (5) Its balance sheet in thousands of Canadian dollars for January 1 2011 is shown below. The January 1,2011 exchange rate was C$1.6/$

Farm products balance sheet (Thousands of C$) Assets Cash C$1,00,000 Current C$60,000

Liabilities Account receivable 2,20,000 Long term debt 1,60,000 Inventory 3,20,000 Capital Stock 6,20,000 Net plant and 2,00,000 equipment Total C$ C$8,40,000

8,40,000

a. Determine farm pro~ucts accounting exposure on January1,2012 using the current rate method and monetary/non monetary method.

b. Calculate farm products contribution to its paren's accounting loss if the exchange rate on December 31 20 11 was C$1.8/$.Assume all accounts remain as they were at the beginning of the year.

"End of Paper"

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V M Patel Institute of Management I AMPICS Ganpat University

Mid Semester Examination, MBA Semester IV Services Marketing

Time: 2.5 Hrs. Date: 01104/2013 Wt: 30 marks

Instructions:

1. All the questions are compulsory. 2. Figures to the right indicate the weightage of question. 3. It's a closed book examination.

Q#l

Q#3

Q#4

Q#5

What is gap analysis? Which are the key factors leading to provide these gaps?

"Internal marketing paves the way for external marketing of services" evaluate the statement in context of any one service provider you like.

Critically evaluate the various strategies for shifting demand to match capacity and give specific example of each.

Explain the different types of short term pricing tactics adopted by service providers. Give at least one example of each. Suppose if you are managing a self-finance eye hospital in Ahmedabad, with service motive than what can be your pricing strategy?

Compare and/or Contrast any three differentiation strategies adopted by at least two leading players in the following industries I business categories?

A. Radio B. Private Sector Bank C. Multiplex Theater D. Business News Channel E. Stock Broking

(5)

I.C::\ \-')

(5)

(5)

(10)

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V. M. PATEL INSTITUTE OF MANAGEMENT I AMPICS Ganpat University

Mid-Semester Examination, MBA Semester IV Strategic Marketing And Brand Management

Time: 2.5 Hrs. Date: 02-04-2013 Wt: 30 Marks

Instruction: 1. It is a closed book examination 2. All the questions are compulsory 3. Be precise and to the point in your answers. Substantia~~an::;v.rers with examples.

Q-1 By the late 1980s IBM had recast its approach in its market driven quality campaign along the 6 lines: 'if we can be the best at satisfYing the needs and wants of customers in those markets we choose to serve, everything important will follow '. Evaluate the statement in the context of different marketing approaches.

Q-2 Focused competitors dominate their target segments - by fending off broad-coverage 6 competitors who have to compromise to serve the segment, and outperforming rivals with the same focus - elaborate the statement with suitable example

Q-3 In a survey of male and female heads of households, in 1975 over three-quarters agreed with a 6 statement, 'I try to stick to well-known brand names'. Ten years later in 1985 respectively, only a little over half agreed with the same statement, while twenty years later in 1995, less than forty percent were agreed with the same. This trend of non-sticking to brands continued into the new century. Consumers are now more likely to experiment with generics or switch back and forth between major brands in the category. They are more likely to shop for discounted products and if presented with two comparable brands, they will likely to choose the one based on price"­critically evaluate the statement and devise the marketing strategies as a head to any ready-made garment retail chain. Justify your argument with suitable example.

Q-4 Discuss the marketing strategies for growth market for pioneer as well as followers with suitable 6 example for each strategy. Which is better, to be a pioneers or follower? Justify your argument.

Q-5 What do you mean by Brand Extension? Explain the factors affecting the success of brand 6 extension. Also explain the impact of brand extension on core brands.

V M PATEL INSTITUTE OF MANAGEMENT/ AMPICS Ganpat University

Mid Semester Examination, MBA Semester IV Retail Management

Time: 2.5 Hrs. Date:03/04/2013 Wt: 30 Marks

Q.l. What is retail and what is its role in marketing? Explain the significance of retail as an Industry. ( 6)

Q.2. Explain the concept of the retail life cycle and discuss its applicability in the Indian context. ( 6)

Q.3. Under what circumstances would it be more desirable for a retailer to buy or lease an existing facility rather than to build a new store? (6)

Q.4. Comment on this statement: "The quality of store maintenance efforts affects consumer perceptions ofthe retailer, the life span of facilities, and operating expenses." (6)

Q.S. Contrast single-channel and multi-channel retailing. What do you think are the advantages of each? (6)

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V M PATEL INSTITUTE OF MANAGEMENT/AMPICS Ganpat University

Time: 2.5 Hrs.

Instructions:

Mid Semester Examination, MBA Semester IV Management Control Systems

Date: 29-03-2013

1. It is a closed book examination.

2. All the questions are compulsory. 3. Figures on the right side indicates the marks of the questions

Wt: 30 Marks

Q-1 Explain terms 'Task Control', 'Management Control' and draw the distinction between the (6) two.

Q-2 Explain the process of strategic planning and benefits and limitations of strategic planning. (6) Q-3 Explain in brief of the meaning of 'Responsibility Center' and various types of (6)

responsibility centers with suitable examples. Q-4 Explain the concept of transfer pricing? Why and how it is used? Explain with example. (6) Q-5 Discuss various constraints that an organization might faces, at the time of establishment (6)

1 of Business Unit as Profit Center?

'END OF' PAPER'

V M PATEL INSTITUTE OF MANAGEMENT/ AMPICS Ganpat University

Mid Semester Examination, 1\IBA Semester IV Entrepreneurship and Management of Innovations

Time: 2.5 Hrs. Date: 28.03.2013 Wt.: 30 Marks

Instructions: 1. This is a closed book examination.

2. All the questions are compulsory. 3. Figures to the right indicate marks of an individual question.

Q # 1 "Entrepreneurship is the process of creating wealth" . Do you agree with the 06 statement? Explain.

Q # 2 What do you mean by a project? Explain why two projects are never be 06 similar?

- Q # 3 Explain the advantages and disadvantages of heing_the first in the market 06 _ with a radical new product?

Q # 4 Explain in detail how venture capital funding is differing from other sources 06 of financing the project?

Q # 5 Classify the intellectual property that may be protected under copyright 06 laws? Also brief the basic concepts that are central to the idea of copyright protection.