Management control system Q.1 (a)"In an organization, control involves a variety of functions. What are these functions ?

Briefly describe he there-tier spectrum of organizational planning and control. (b) "The concept of responsibility is a logical extension oil the idea of delegation of responsibiiity and authority for elective management control," Explain. Whale carp he three key principles elective control and management of operations ? Q.2 (a) What different concepts of profit could be considered in the measurement of performance of profit canters ? Which one would you recommend and why ? (b) Explain Negotiated Price and Opportunity Cost as bases for determining transfer pricing. What are their merits and demerits from the practical point of view ? Q.3 (a) Discuss the scope of Flexible Budgeting, pointing out its merits and demerits. (b) What basic factors should gutted in designing performance evaluation reporting system ? Explain. Q.4 (a) What shirred be the objectives of Management Control System in a Bank ? Discuss some of the indicators of performance in a Bank. (b) What pricing methods could be used in a nonprofit organization ? Why should a non-profit organization have a reasonable pricing policy ? Q.5 write shod notes on the following : (a) Elements of a control system (b) Profit centre as motivational tool (c) Return on Investment Approach (d) Performance Budgeting Q.6 Discuss the need for MIS in an organisation and explain the important considerations in designing Management information System {MlS) for the purpose of Management Control

Q.7 Growing geographical reach and exploration of new markets has necessitated increased delegation and ideation of responsibility censes. Elaborate this statement giving reasons and examples, Q.8 Write short notes on the following : (i) Flexible bustling (ii) Balanced Score Card (iii) Total Quality Management (TQM) (iv) Management by Objectives (MBO) Q.9 Explain in detail the different! types of risks Iced by the banks and describe horn can these be contained by designing proffer management control system. Q.10 Explain in detail the main elements of Management Control System in development organisations. Q.11 (a) What changes have to be afflicted so that Responsibility Centres meet the requirements of a decentralized organization ? (b) "Responsibility Accounting forms a vital component of MCS in an organization." Explain the concept of Responsibility Accounting and highlight its role in MCS. Q.12 (a)Why are profit centres established ? What purposes do they sewer ? (b) Distinguish between ROI and RI in the context of measurement of performance of investment centres. Which of the two retools, do you think, is superior and why Q.13 What are the main purposes of applying Network Analysis in preparing budgets ? Explain the distinct stages in preparing budgets based on Network Analysis' Q.14 (a) Explain the characteristics of a project organization from the viewpoint of Management Control. (b) Examine the problems related to measuring the output in non-profit organizations. Suggest some of the ways in which these problems can be resolved.

Q.15 Explain any three of the following : (a) Transfer pricing and Corporate policy (b) Purpose and process of preparing cash budget (c) Management control in hospitals (d) Performance budgeting (e) Myths about MIS Q.16 (a)How can TQM be helpful in Management Control ? Illustrate your answer. (b) Why are behavioural aspects important in Management Control ? How can the understanding of different styles of management be helpful in Management Control ? Q.17 (a) Examine the merits and demerits of profit centres. (b) Discuss the issues of corporate policy that are concerned with Transfer Pricing. Q.18 (a) Explain the process of preparing Flexible Budgets' What are the limitations of flexible budgets ? (b)How would you install and operate an Activity Based Cost System ? What are its likely benefits ? Q.19 (a)What are different types of risks that the banks ace ? Examine the role of Management Control System in containing these risks. (b)What problems do the SMEs generally face ? What are the implications of such problems on Management Control of SMEs. Q.20 Explain any three of the following : (a) Ethics and MCS (b) Transfer pricing in actual practice (c) Business Process Reengineering (BPR) (d) Overriding objectives of reward and compensation sYstem (e) Characteristics of service organizations and their implications for MCS

Q.21 Compute the change in Residual Income (RI) from the following new investment Total original cost of investment Rs. 2,00,000 Additional net cash flow per year Rs. 50,000 Minimum required rate of return 13% Life of the equipment 10 years Assume straight-line depreciation and no salvage value. Q.22(a) Management control system is guided by controllability Principal Explain. (b) The ultimate purpose of management control is to achieve goal congruence. Comment. Q.23 The problems in the establishment of profit centre controls revolves areong the questions of measurement. Concept of profit to be used internal transfer price and the compensation based on evaluation. Discuss. Q.24 Evaluate the ROI system of performance evaluation in relation to management control. Give appropriate examples. Q.25 Discuss the factor/considerations involved in the management control multinational operasdtiosn including economic and political risks. Q.26 Explain any two fo the following (a) Characteristics of management control system. (b) Transfer pricing and corporate policy. (C ) Measuring and controlling performance in an MBO framework Q.27 What considerations influence the design fo a management control system in business organisation? Explain with examples. Q.28 Discuss the issue that are concerned with the identification of investment hase and the performance measurement of investment centres.

Q.29 There are certain important issue that need to be examined and sorted out before staring the detailed budged setting exercise. What are these issues? Discuss what kind of procedures does a progressive company generally adopt in relation to the budget setting exercise? Q.30 What particulars issue may have to be faced in the management control system of a multinational enterprise? Discuss briefly with suggestion to resolve them. Q.31 What planning and control techniques can be used in a project organisation? Discuss briefly. Q.32 Defining the boundary conditions in profit centres is an important aspect of the design of profit centres explain Q.33 What measures can be used or measuring performance of investment centres? Discuss their relative merits and dementias. Q.34 (a) Managerial performance in a foreign subsidiary is different form managerial performance sin domestic division. Do you agree with the statement? Give reasons. (b) what adjustments are commonly required to the profit or loss figure of a foreign subsidiary in order to arrive at the correct figure of profit or loss? Q.35(a) In what ways is the management control in a non-profit organisation different form a profit organisation? (b) Develop a programme structure of a hypothetical large non-profit organisation (describe it objective ad actinides) pointing out its outputs and indicators for measuring outputs. Q.36 (a) Responsibility accounting without responsibility reporting is incomplete. Comment on the statement by fully explaining and illustrating the two terms. (b) An investment centre is necessarily a profit centre but a profit centre may to necessarily be an investment centre explain what are the different types of influences which an investment centre meager may exercise on their vestment decision realign to this Davidson?