Chapter 1. Nature and Purpose of Business In every society people undertake various activities to satisfy their needs. Activities: I ) Economic II ) Non-Economic Q. What is economic activities? Ans. Economic activities are those activity by which we can earn our livelihood. Ex:- Teacher teaching in school. Q. What are non-economic activity? Ans. Those activities which are performed out of love, sympathy, sentiments, patriotism,etc. Ex:- Teacher teaching his kid, Charity to poor people. Q. What are the characteristic of Business? Ans.1) An economic activity: Business is considered to be an economic activity because it is undertaken with the object of earning money or livelihood. 2) Production or procurement of goods and services: This goods must be either produced or procured by business enterprises. 3) Sale or exchange of g...
The transportation technique or method is the study of efficient transportation routes i.e., how efficiently the product from different source of productions is transported to the different destinations, such as the total transportation cost is minimum. Practical Question with Answer: Initial basic feasible solution of a transportation problem Row minima method Column minima method North west corner rule South East Corner rule Matrix minima method (Lowest cost entry method) Vogel’s approximation method Optimality Test / Square Evaluation of Empty Cell 1. Stepping Stone Method : Here all the square evaluation empty cell give non negative result. 2. MODI (Modified Distribution Method) or U.V. Method : Here all the square evaluation of empty cell gives non positive result.