For Recruitment to the Posts of Provincial Management Service (PMS)
SUBJECT: Business Administration (Paper-1)
Time Allowed: 3 Hours
Maximum Marks: 100
Attempt FIVE questions in all. Attempt in Urdu or English.
Q.1 Explain the following trends that have changed the managerial perspective: a) Technological advancements b) Increased cross-cultural diversity c) Corporate sustainability d) Customer awareness (4 × 5 = 20 Marks)
Q.2 Explain the strategic management process of business organizations. What is the importance of SWOT analysis in this process? (20 Marks)
Q.3 Explain the following basic principles of management presented by Henri Fayol in today’s business environment: a) Equity b) Centralization c) Balancing authority and responsibility d) Initiative (4 × 5 = 20 Marks)
Q.4 What is the importance of a Performance Management System in an organization? Discuss at least three methods of employee appraisal. (20 Marks)
Q.5 Explain Kurt Lewin’s theory of organizational change by describing the different stages of the change process. (20 Marks)
Q.6 What is the difference between recruitment and selection? Discuss how negligent hiring influences organizational performance and how managers can avoid it. (20 Marks)
Q.7 Explain the following cultural dimensions of an organization: a) Aggressiveness b) Ethics c) Teamwork d) People orientation (4 × 5 = 20 Marks)
Q.8 Explain different forms of leadership power with examples. (20 Marks)
SUBJECT: Business Administration (Paper-II)
Time Allowed: 3 Hours
Maximum Marks: 100
PART-I: Marketing (50 Marks)
NOTE: Attempt any FOUR questions including Question No. 1 (Compulsory). Attempt in Urdu or English.
Q.1 (Compulsory) “Companies must continuously monitor and manage the marketing environment to seek opportunities and avoid threats. It consists of micro and macro environment.” Differentiate between micro and macro environment and explain how macro-environmental forces influence business transactions. (20 Marks)
Q.2 What is marketing research? Briefly explain the steps involved in the marketing research process. (10 Marks)
Q.3 Describe the five stages of the Product Life Cycle (PLC) and explain how marketing strategies change at each stage. (10 Marks)
Q.4 Discuss the five promotion mix tools used for communicating customer value. (10 Marks)
Q.5 Explain the four steps in designing a customer-driven marketing strategy: a) Market segmentation b) Targeting c) Differentiation d) Positioning (10 Marks)
PART-II: FINANCIAL MANAGEMENT (50 Marks)
NOTE: Attempt any FOUR questions including Question No. 6 (Compulsory). Use calculator (non-programmable). Attempt in Urdu or English.
Q.6 (Compulsory)
Briscliff Stove Company project evaluation:
Initial investment = Rs.700,000 (Year 0) Year 1 investment = Rs.1,000,000 Cash inflows: Year 2 = 250,000 Year 3 = 300,000 Year 4 = 350,000 Year 5–10 = 400,000 annually
(a) Calculate NPV at 15% and decide acceptability. (b) Calculate IRR and check acceptability at 10%. (c) Calculate payback period (acceptable if ≤ 5 years). (20 Marks)
Q.7 Silicon Wafer Company:
Dividend = Rs.1
Share price = Rs.20
Beta = 1.45
Risk-free rate = 8%
Market return = 13%
(a) Calculate required return using Dividend Discount Model. (b) Calculate required return with changing growth rates (12% for 5 years, then 10%). (c) Calculate required return using CAPM. (10 Marks)
Q.8 Play-More Toys:
Sales = 400,000 units
Price = Rs.1.00
Variable cost = Rs.0.84
Fixed cost = Rs.28,000
Interest = Rs.6,000
Preferred dividend = Rs.2,000
Tax rate = 40%
Calculate: a) Operating break-even point b) Degree of Operating Leverage (DOL) c) Degree of Financial Leverage (DFL) d) Degree of Total Leverage (DTL) (10 Marks)
Q.9 J. White Industries balance sheet completion (financial ratios provided). (10 Marks)
Q.10 Financial analysis: (a) Calculate WACC based on given capital structure (b) Calculate sustainable growth rate (c) Calculate ROE using DuPont components (10 Marks)
