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Three classes in which elements are classified are:

Metals , Non-metals and Metalloids

Copper was the first metal used by man.

(i) Acetic acid 

(ii) Acetylene 

(iii) Isomers 

(iv) Ketone

(i) CU(NO₃)₂+ Na₂CO₃ → CuCO₃ + 2NaNO₃ 

(ii) 2NH₄Cl + H₂SO₄ → (NH₄)₂ SO₄ + 2HCl

(i) X (Because of Avogadro’s law) 

(ii) Avogadro’s law

(i) Weight of hydrogen = 2 × 1 g = 2 g

2 g of hydrogen corresponds to 1 mole of hydrogen

1 g of hydrogen corresponds to mole of hydrogen

1000 g of hydrogen corresponds to × 1000 g mole of H₂ = 500 moles 

(ii) 1 mole of H₂ occupy 22.4 L 500 mole of H₂ occupy = 22.4 x 500

By Avogadro’s law the volume occupied by CO₂ will be same Weight of CO₂ = 12 + 2 x 16 = 44 g

22.4 L will weigh 44 

1L will weigh \(\frac{44}{22.4}\)

22.4 x 500L will weigh \(\frac{44}{22.4}\times500\) = 22000g = 22kg

(i) Weight of hydrogen = 2 × 1 g = 2 g 

2 g of hydrogen corresponds to 1 mole of hydrogen 

1 g of hydrogen corresponds to mole of hydrogen 1000 g of hydrogen corresponds to × 1000 g mole of H₂ = 500 moles 

(ii) 1 mole of H₂ occupy 22.4 L 500 mole of H₂ occupy = 22.4 x 500

 By Avogadro’s law the volume occupied by CO₂ will be same 

Weight of CO₂ = 12 + 2 x 16 = 44 g 22.4 L will weigh 44 

1L will weigh \(\frac{4}{22.4}\)

22.4 x 500L will weigh \(\frac{44}{22.4}\times22.4\times500\) = 22000g = 22kg

(iii) X (Because of Avogadro’s law) 

(iv) Avogadro’s law

11.2 litres of a certain gas at s.t.p. is 24

1 litre of a certain gas at s.t.p. is \(\frac{24}{11.2}\)

22.4 litres of a certain gas at s.t.p. is \(\frac{24}{11.2}\times22.4L\) = 48g

Given,

Mass of 20 l of a gas at STP = 32 g

Mass of 1 l of gas at STP would be = 32/20 g

We know that

Gas at STP has volume = 22.4 l 

Gram molecular weight of the gas = 32/20 x 22.4

= 35.84 g

Mass of gas = 24 g 

Volume of gas = 11.6 litres 

22.4 L of gas at STP = 1 mole 

11.2 L of gas at STP = 11.2 / 22.4 = 0.5 moles 

Mass of 0.5 moles of gas =24 g 

Mass of 1 mole of gas or molar mass = 24/0.5 = 48 g

The excavations in the Indus Valley (also called Harappan Civilization) yielded a variety of pottery which is plain and decorated and contain a variety of unglazed and glazed pottery.

The pottery of Indus Valley civilization is an excellent example of ancient glazed pottery.  A kiln in which pots were baked was discovered. The different shapes, made beautifully with a perfect craftsmanship supply evidence of the advance techniques known to the Indus Valley potter.

(i) 1. Low Work Function 2. High Melting Point. 

(ii) Helium gas.

One disadvantage of division of Labour: 

Retarded personality: Repetition of the same task again and again leads to intellectual dullness. It kills the initiative and weakens the desire to learn. As a result the development of physical and intellactual personality of a worker may be retarded.

Two important qualities of a successful entrepreneur:

1. Organizational ability: A successful entrepreneur must be a good organizer. He should have the ability to co-ordinate the effort of the various factors of production. People who are good at their own work but poor organizers cannot make good entrepreneurs. 

2. Attitude of Risk taking: An entrepreneur must be a person who is bold and willing to face the risks and uncertainties of business. A person who is always averse to risk-taking, cannot be a good entrepreneur.

Complementary goods are those goods which are complementary to one another in the sense that they are used jointly or together such as car and petrol, pen and ink etc. There is an inverse relationship between the demand for a good and the price of its complements. 

For example, an increase in the price of petrol not only causes a decrease in the demand for petrol, but also leads to a decrease in the demand for cars. Thus, in case of complementary goods, an increase in the price of one results in decrease in the quantity demanded of the other, and vice versa.

Average propensity to consume (APC) is the ratio of consumption expenditure and the level of income in an economy.

APC = C/Y

where

C = Consumption

Y = Level of income 

APC indicates the percentage of income spent in the form of consumption expenditure in an economy. If the income of an economy is 100 crores and the consumption expenditure is 65 crores, then APC = 65/100 = 0.65. In this example, 65 per cent of income in the economy is spent in the form of consumption expenditure.

The relationship between APC and APS is described below: The average propensity to save is the proportion of the income that is saved APS = S/Y

where

S = Saving 

Y = Level of income

We know that Y = C + S 

Dividing the equation by Y throughout

1 = C/Y + S/Y 

1 = APC + APS

The sum of Average propensity to consume and average propensity to save is equal to 1.

Increases in government expenditure : If the government expenditure is increased by an amount equal to the deflationary gap, it will restore the economy to the full employment equilibrium.

Reduction in the amount of taxes: The government can give tax concession to leave more disposable income in the hands of people. As a result, aggregate demand will increase.

Excess demand refers to a situation in which aggregate demand exceeds aggregate supply corresponding to fall employment. 

The two fiscal measures to reduce excess demand are as follows:

(i) Government Expenditure: It is the principal component of fiscal policy. When there is excess demand government expenditure on public works, education, defence, maintenance of law and order should be reduced. A reduction by government will reduce pressure on aggregate demand and which will shift downward.

(ii) Increase in taxes: The Government should levy new taxes and enhance the rate of the existing ones. This will reduce disposable income of the people and hence reduction in aggregate demand.

(iii) Public Borrowing/Public Debt: By borrowing from the public, the government creates public debt. When there is a situation of excess demand (or when AD needs to be reduced), the government steps up public borrowing by offering attractive rate of interest. This reduces liquidity with the people. Accordingly, aggregate expenditure also reduces.

(1) Increase in government expenditure and investment. 

(2) Increase in transfer payments and subsidies. 

(3) Reduction in taxes to increase the disposable income of the people. 

(4) More use of deficit financing to increase the flow of money. 

(5) Repayment of public debts.

The difference between accounting cost and opportunity cost is as follows:

An investment multiplier refers to the fact that an increase in private or public investment expenditure leads to a more than proportionate increase in the level of national output. The investment multiplier is calculated as the ratio of change in income to the change in investment. Investment multiplier = ∆Y/∆I

where ∆Y = change in income

∆I = change in investment.

A normal good 

(i)  There is a positive relationship between income and demand of normal goods.

(ii)  Demand curve shifts rightwards with the rise in income of consumer and demand curve shifts leftwards with the fall in income of consumer.

An inferior good

(i)  There is negative relationship between of consumer income of consumer and demand of inferior goods.

(ii)  Demand curve shifts leftwards with the of rise in income of consumer and demand curve shifts rightwards with the fall in income of consumer.

The law underlying the given schedule is the Law of Diminishing Marginal Utility. As per the law of diminishing marginal utility, the level of satisfaction obtained from each additional unit of a commodity consumed keeps on declining as more and more units of a commodity are consumed. This law was formulated by the famous economist. 

Alfred Marshall. It is based on the following .assumptions.

• All the units of a commodity consumed must be same in all respect-in size, colour, quality etc. 

• The unit of the good must be the standard unit. 

• No change in taste and preference of the consumer. 

• No time break in consumption of every successive unit of the commodity. 

• No change in the price of a substitute good.

As the schedule illustrates that when the first unit of Pen is consumed, the marginal utility derived is maximum. But with every successive unit pen used, the marginal utility goes on decreasing from 25 utils to 5 utils when 5th unit of pen is used.

Marginal utility is the net addition made to total utility by the consumption of an additional unit. Mu_n = Tu_n – Tu_n-1. when total utility is maximum, marginal utility is zero.

Two differences between returns to scale and returns to a variable factor are as follows:

Difference between returns to variable factor and returns to scale are as follows: 

• The law of Returns to variable factor means the change in physical output when the quantity of one factor is changed, other inputs remain fixed. Returns to scale on the other hand means a change in the physical output when the quantity of all the factors is increased simultaneously at the same proportion. 

• The law of variable factors studies the effect of change in one input on the output, whereas Returns to scale studies the effect of change in all inputs on the output. 

• The law of variable proportion or Return to a factor is a short-run phenomenon whereas ‘the returns to scale’ is a long-run phenomenon. 

• Returns to variable factor take account of the change in factor proportions whereas Returns to scale takes factor proportions to be unchanged.

The main reasons for the indeterminate price and output under oligopoly may be summarised as follows: 

• Different Behaviour patterns: In oligopoly due to interdependence, a vast variety of behaviour patterns becomes possible. 

• Indeterminate Demand Curve: Another cause of indeterminateness of price and output in an oligopoly is indeterminate demand curve.

(i) Few firms: Under oligopoly, there are few large firms each producing a significant portion of the total output. 

For example: the market for automobiles in India is an oligopolist structure as there are only a few producers of automobiles. The number of firms is so small that action by anyone firm is likely to affect the rival firms. So, every firm keeps a close watch on the activities of rival firms.

(ii) Interdependence: Due to few large firms under oligopoly are interdependent with respect to their price/output policy. Interdependence means that actions of one firm affect the actions of other firms. A firm considers the action and reaction of the rival firms while determining its price and output levels.

(iii) Non-Price Competition: Firms try to avoid price competition for the fear of price war. They use other methods like advertising, better services to customers, etc. to com¬pete with each other. Under oligopoly, firms are in a position to influence the prices. However, they follow the policy of price rigidity. Price rigidity refers to a situation in which price tends to stay fixed irrespective of changes in demand and supply conditions.

(iv) Role of Selling Costs: Due to severe competition and interdependence of the firms, various sales promotion techniques are used. Selling costs are very important and oligopolistic firms spend much on advertisement and customer services in order to promote sales of its product. Advertisement is in full swing under oligopoly, and many times advertisement can become a matter of life-and-death. 

For example: T.V. commercials war between Coke and Pepsi. It relies more on non-price competition. Therefore, selling costs are more important under oligopoly than under monopolistic competition.

In the long run, all inputs of a firm are variable. If the demand increases or decreases, all the firms have sufficient time to adjust their production according to the market conditions. In the long run, a firm can earn only normal profits because in case of continued abnormal profits new firm will enter into the market and supply will increase to meet the demand. In case of continued losses, certain firms will reduce their products or a few may leave the industry. In this case, the supply shall be reduced and the price will come up to its normal level. When a firm is, earning a normal profit in the long run, it will express the following equation. Marginal revenue (MR) = Marginal Cost (MC) = AC = AR = Price. So MR = MC = AC = AR = Price.

All the competitive firms, in the long run, earn normal profit and there is so tendency for the new firms to enter or leave the industry; they are in equilibrium when all the firms in the industry are in the state of lull equilibrium equating price, marginal revenue, marginal cost, average total cost, to the industry itself is also in equilibrium. When the industry is also in the long equilibrium there is an optimum allocation of resources. The consumers will get the commodity at a lower price because goods are produced at normal profit in the long run.

(a) A direct tax is really paid by the person on whom it is legally imposed. A direct tax is one whose burden cannot be shifted. For example: income tax, wealth tax.

(b)

(c) Money enables consumers in making payments for goods and services of their needs. It provides freedom of choice of consumption. On the basis of prices of various goods and services, consumers are able to allocate their income in such a way so that they can derive maximum utility from their consumption 

(d) Rights of consumers: 

1. Right to be informed: Adequate and accurate information about the quality, quantity, purity, standard and price of goods and services must be provided to consumers. This information helps consumers while making the decision to buy and use a product. 

2. Right to seek redressal: Consumers have been given the right to redress their grievances relating to the performance, grade and quality of goods and services. The Consumer Protection Act has duly provided for a fair settlement of genuine grievances of consumers. It has also set up a proper mechanism for their redressal at the district, state and national levels.

(a) 1. Progressive taxes help in reducing the income inequality among different income groups of people in a society. The rich pays a higher average tax rate than the poor. So the gap between the rich and poor is narrowed down. But in case of proportional taxes both rich and poorer persons are to pay the tax at the same rate. 

2. Progressive tax is more elastic than proportional tax.

(b) Under monopolistic competition there are many sellers in the market which sells differentiated products. Whereas in monopoly there is a single seller selling homogeneous or non-homogeneous product.

(c) Private sector helps in rapid economic growth. It is more productive than public sector and has more competitive ability and hence earns more profit in less time.

(d) A direct tax is an equitable, economical, certain, elastic and productive and also increases the civic sense. Whereas indirect tax is unequitable, uneconomic, uncertain, and does not create civic sense.

(e) A credit card gives the facility to the cardholder to purchase goods and services from various shops without paying the currency notes (cash) at that time. The card issuing banks pay the seller immediately after the transaction and charge the buyer after one month or so, as the condition specified. Moreover, risk of carrying currency notes is also overcome by a credit card.

Taxes which are mildly progressive, hence not very steep, so that high-income earners do not make a due sacrifice on the basis of equity are called degressive tax. In degressive taxation a tax may be progressive upto a certain limit; after that it may be charged at a flat rate.

When the sustained rising prices gain a full momentum of their own (say 8% to 10% per annum) they begin to move up at a fast speed. It is called running inflation. It is a warning signal for controlling it. Fixed income groups are worst affected by inflation because the purchasing power of fixed income goes on decreasing with rising prices.

Small farmers lack the resources to market the product or transport the produce to proper market. Many a times, they are not even aware of the inflation in the market and then they can not get more for their produce at the prevailing market prices. As a result, the middlemen earn the maximum profit by purchasing the produce from the small farmers at base prices and sell it at huge profits in the market.

The two main sources of public revenue are tax sources (like income tax, wealth tax, GST, etc.) and non-tax sources (like fees, fine, penalties, etc.)

Holding Company: A holding company is one that directly or indirectly holds more than 50% of equity’ share capital or controls the composition of the Board of Directors of some other companies. 

A company may become a holding company in any of the following three ways:

• By holding more than 50% of the paid-up equity’ share capital of another company: or 

• By holding more than 50% of the voting rights of another company: or 

• By holding the right to appoint the majority of the Directors of another company.

The term labour refers to the aggregate of all human physical and mental effort used in creation of goods and services.

Some people consider advertising a social waste. They point out the following limitations and dangers of advertising: 

1. Higher Prices: Advertising involves huge expenditure thereby increasing the cost of distribution. Manufacturers and traders charge higher prices from consumers to recover the money spent on advertising. However, excessive and unbalanced advertisements increase cost and prices. Effective advertisement help to reduce costs and price by widening markets and providing economies of large scale operations.

2. Artificial living: Advertising multiplies the needs of people and encourages wasteful consumption. It persuades people to buy products which they do not need or cannot afford. People are encouraged to buy even products which are harmful to their health eg. cigarettes, wine, etc. Advertising promotes artificial living and extravagance by creating demand for trivial goods. 

3. Misleading: Advertising often deceptive and misguides consumers. Exaggerated and false claims are made in advertisements to dupe innocent people. Bogus testimonials and other questionable means are used to sell goods of doubtful value. 

4. Growth of monopolies: Advertising creates brand preference and restricts free competition. Large and well-established firms spend huge amounts on advertisements to kill new and small concerns. Advertising encourages the survival of the mightest rather than of the best.

5. Wastage of national resources: Manufacturers create trivial and artificial differences in their products to develop brand loyalty through advertising. The natural resources, capital equipment and labour which go into the production of such items amount of waste as these could better be employed in creating new industries, valuable stationery, time and energy used in advertisement go waste because most of the advertisement either escape the attention of people or are ignored by them. It is also regarded as a waste because of most of the advertisement shift demand from the one brand to another instead of increasing the total demand.

6. Unethical many advertisements are highly objectionable because they undermine moral values and ethics. Vulgar advertisements may also spoil the landscape and divert the attention of people driving on roads

Difference between Advertising and Personal Selling :

Factors that influence the Supply of Commodity (Any one) : 

(i) Product Price: The quantity supplied varies directly to price of the good, other factors held constant. Generally, producers tend to supply more at a higher price to earn greater profits. Higher revenues from sales are necessary to induce producers to increase supply of a good. 

(ii) Objective of the firm: Firms pursue different goals. The amount of a good or service supplied is influenced by the objectives of the firm. e.g., a sales maximiser would supply more than the profit maximiser to gain greater market share. 

(iii) Taxation Policy: Imposition of heavy taxes on a commodity discourages its production and as a result its supply diminishes, on the other hand tax concessions of various kinds induce producers. 

(iv) Weather Conditions: Unfavourable weather like floods, drought, etc. decrease the supply of agricultural products, which means that at any given price, a lower quantity will be supplied. Conversely, especially good weather would increase the supply.

Advantages of Branding: The manufactures draw the following benefits from branding: 

(1) Distinctiveness : A brand name creates a distinctive impression among the customers. For instance, different brands of soap such as 'Hamam', 'O.K.' 'Lux', 'Pears', etc. create different impressions upon the users though the article is the same, i.e., soap. Thus, branded products enjoy individual existence. 

(2) Publicity : A brand name enables its holders to advertise his product without any difficulty. Once a brand name becomes popular, people remember it for long. 

(3) Protection : A registered brand name and mark is a protection against imitation by the other manufacturers. 

(4) Control Over Prices : A manufacturer can easily control the prices of his branded products. He can fix the prices and print them on the packets containing the branded products.

(5) Wide Markets : Branded products are quite popular and have wide market. The wholesalers and retailers readily handle the branded products which are advertised 

Participating Preference Shares : The preference shares which get share in the surplus profit of the company are known as participating preference shares. Preference shareholders get a fixed rate of dividend in case a surplus profit is left after paying fixed dividend to preference and equity shares. The participating preference shares get a share in that surplus profit.

Advertising has been criticised on the following grounds: 

1. Higher Prices: Advertising increases prices of products to consumers . because the expenses incurred on advertisements are passed on to consumers. However, advertising will not increase prices if it leads to large scale production. 

2. Creation of Monopoly: Big firms spend huge amounts of money on advertising. Small firms cannot compete with them and ultimately fail. As a result, big firms become monopolies and use their monopoly power to exploit consumers.

3. Wastage of Resources: Money spent on advertising is sheer waste because it does not add to the utility of products and services. Most of the advertisements are either ignored or escape the attention of consumers. Advertisements do not create new demand but only shift demand from one product to another. 

4. Deceptive and Untruthful: In order to impress upon the people, false statements and exaggerated claims are made in advertisements. As a result, innocent people are misled to buy inferior and even worthless products. Advertising offers scope for fraud and deception. 

5. Extravagance: Advertising tempts people to buy goods which they cannot afford. They become extravagant and do not hesitate even to adopt corrupt practices to earn more. This creates frustration and corruption in society. People become greedy and self-centered, causing unrest and jealousy.

A cyclist bends inwards because then the horizontal component of the normal reaction of the ground provides the necessary centripetal force for going along the curved road.

Working capital is the portion of capital invested in short-term assets of a business. It consists of cash receipts from sales which are used to cover the cost of current operations. It is also known as circulating capital as it keeps circulating or revolving in business. It is invested, recovered and reinvested repeatedly during the business cycle.

Ancillary functions or Agency function of a commercial bank: Agency Functions : Commercial Banks render several services as the agents of their customers. These services are known as their agency functions. Some of the most important agency functions are as follows :

(1)  They collect the payment of the bills of exchange, promissory notes, cheques, etc., on behalf of their customers. 

(2)  They collect dividends on debentures interest on shares, rent, etc., on behalf of their customers.

(3)  They buy and sell shares and securities on behalf of the customers as per their instructions.

(4)  They transfer funds from one branch of the Bank to another and from the place to another. 

(5)  They make payments of loan installments, interest, insurance premiums, taxes etc., on behalf of their customers.

(6)  They act as trustees or executors and deal with the financial matters, relating to other institutions, for their customers.

Miscellaneous Functions : Commercial Banks also perform several miscellaneous services which are described below : 

(1)  They provide safety vaults or lockers for the safe custody of jewelry, valuable possessions of their customers. 

(2)  They issue letters of credit, like circular notes, drafts and traveler’s cheques. 

(3)  They give correct information to the customers about the credit of other customers. (4) They give references about the financial position of their customers, when it is so required. 

(5)  They supply various kinds of trade information which is useful to their customers.

From subsistence level and self-sufficiency to modem marketing has been a long journey. Advent of money led to the rise of markets and exchange system. 

The evolution of modem marketing can be traced through the following stages: 

1. Production-Oriented Stage (1869-1930): In this stage the motto was ‘sell what can be produced’. There was acute shortage of goods and there was no need to create demand. Product was the focus of attention and communication with the buyer was not needed. Products were manufactured on the assumption that customer would search and buy well build and reasonably priced products. This was based on Say’s law: ‘Supply creates its own demand’. Production oriented stage lasted till the Great Depression. 

2. Sales-Oriented Stage (1930-1950): Great Depression resulted in drastic changes in buying habits and behaviour of consumers, technological advancements in transportation and communication also changed the thinking. The focus shifted from production to selling. How to sell became a problem and the new motto was ‘get rid of what you have’. The focus was on increasing sales rather than on consumer satisfaction. Demand out stripped supply and it was still a seller’s market. In the last stage of marketing, i.e., Marketing oriented stage, customer satisfaction became the principal reason for corporate existence. They realised that in order to survive and grow in this highly competitive world, a company must first determine what consumers want. Then produce that will satisfy consumers.

The Central bank is the apex institution of the monetary and banking structure of the country. Commercial bank one the other hand, is one of the organs of the money market.

Near money or Quasi money refers to highly liquid assets that can be easily converted into cash. Some examples of assets that are counted as near money are deposit accounts, money funds, etc.

Land differs from labour as : 

(i) Land has perfectly inelastic supply: Supply of land is perfectly inelastic i.e., fixed in quantity. Neither it can be increased nor decreased as compared to labour. In simple, you cannot change size of the earth. 

(ii) Land is perfectly immobile: Mobility means ability to move. Movement of land from one place to another is not possible whereas labour is perfectly mobile.