SINDH PUBLIC SERVICE COMMISSION, HYDERABAD.
Combined Competitive Examination, 2021
Economics
(Paper-I)
Monday the 14th February, 2022.
Time: 02:00 pm to 05: 00 pm Maximum marks. 100
=================================================
Note Attempt any Five questions. All questions carry equal marks.
=================================================================
Question No.
01 Explain price and output determination under monopoly. Why monopoly price
is higher than perfect competition.
02 Explain the circular flow of national income in a Three Sector Economy.
03 Explain and draw IS-LM Curves to show general equilibrium in goods and
money markets.
04 “Additional benefit that a person drives from given stock of anything
diminishes with the growth of stock that he already has”. Please discuss.
05 Central Bank is responsible for financial stability of a country. Discuss.
06 Critically examine Ricardian‟s theory of comparative advantage.
07 What are different instruments of credit control. Which one is more effective?
Discuss.
08 Explain how equality of saving and investment brings equilibrium of national
income. Explain with the help of a diagram.
****************************************************
1
, SINDH PUBLIC SERVICE COMMISSION, HYDERABAD.
Combined Competitive Examination, 2021
Economics
(Paper-II)
Tuesday the 15th February, 2022.
Time: 02:00 pm to 05: 00 pm Maximum marks. 100
=================================================
Note Attempt any Five questions. All questions carry equal marks.
=================================================================
Question No.
01 Do you believe that health, labour productivity, and income levels are all linked?
Explain in the light of development models.
02 What exactly is meant by “Absolute Poverty”? What are the preferred measurements
of income poverty among development economists? How do income poverty
measures differ from the United Nations Development Program‟s Multidimensional
Poverty Index? Why should we be worried about measuring poverty in emerging
countries?
03 Explain balance of payment position of Pakistan. Also give reasons for disequilibrium
in B.O.P. Suggest measures.
04 Explain import substitution policy and export led growth strategy in Pakistan.
05 World is moving towards renewable energy and much has been done so far in this
perspective whereas the contribution of renewable energy is very low in total energy
production in Pakistan compared to Europe and the other parts of the World. What do
you think are our shortcomings and how can we improve the renewable energy
production in Pakistan.?
06 Large-Scale Manufacturing (LSM) rose by a solid 68.07 percent in April 2021,
demonstrating spectacular growth in industrial output for the third consecutive month
in Pakistan. What are the reasons behind such phenomenal growth in LSM in
Pakistan? Discuss.
07 Green economic growth required a paradigm shift. What are the challenges that
Pakistan must confront in its attempt to become a green economy? Discuss in details.
08 According to the findings of a France-based market research firm Ipsos, Pakistan
loses more than Rs300 billion yearly due to tax evasion in five economic sectors, with
illicit auto lubricants and tyres trade causing the most damage to the exchequer of all.
What are the social, economic, institutional and political factors responsible for such
huge tax evasions? Discuss.
****************************************************
2
, SINDH PUBLIC SERVICE COMMISSION, HYDERABAD.
Combined Competitive Examination, 2021
Accountancy & Auditing (Paper-I)
Monday the 14th February, 2022.
Time: 02:00 pm to 05: 00 pm Maximum
marks. 100
=================================================================
=============
NOTE: ATTEMPT ANY 05 QUESTIONS. ALL QUESTIONS CARRY EQUAL
MARKS.
=================================================================
=============
Question No.
01 Why Accounting is referred to as “Business Language”? What are the
Functions of Accounting?
02 What factors influence International Accounting practices? What forces are
leading to the global convergence of accounting practices?
03 ABC Works Company uses a job-order costing system for its products, which
pass from the Machining Department, to the Assembly Department, for
finished-goods inventory. The Machining Department is heavily automated; in
contrast, the Assembly Department performs a number of manual-assembly
activities. The company applies manufacturing overhead by the use of machine
hours in the Machining Department and direct-labour cost in the Assembly
Department. The following information relates to the year just ended:
Machining Assembly
Department Department.
Budgeted manufacturing overhead $2,000,000 $1,540,000
Actual manufacturing overhead 2,130,000 1,525,000
Budgeted direct-labour cost 750,000 2,800,000
Actual direct-labour cost 725,000 2,890,000
Budgeted machine hours 200,000 50,000
Actual machine hours 212,500 55,000
The data that follows pertain to job no: DC66, the only job in production at
year-end.
Machining Assembly
Department Department.
Direct material $12,250 $3,350
Direct labour 13,950 29,300
Machine hours 180 75
3
, Requirement: (i) Determine the pre-determined overhead rates used in the
Machining
Department and Assembly Department.
(ii) Determine whether overhead was under or over applied during
the year in each department.
(iii) If company adjusts over or under applied overhead into cost of
goods sold, would the company‟s cost of goods sold account
increase or decrease? Explain.
P.T.O.
04 Explain the difference between the terms „Liquidity‟ and „Solvency‟ when
used in Ratio Analysis?
05 ABDC Corporation has following inventory:
Beginning Inventory 100 units @ $8.00 = $ 800
Purchase # 1 200 units @ $6.00 = 1,200
Purchase # 2 100 units @ $12.00 = 1,200
Total 400 units $ 3,200
Use the information to answer the following questions.
(i) What is ending inventory under the average cost method?
(ii) What is cost of goods sold under LIFO?
(iii) What is cost of goods sold under FIFO?
06 Ali setup his own catering business on 1st July 2015. During the 12 months
upto 30th June 2021 the following transactions occurred:
(i) John put $10,000 of his own money into the business.
(ii) He borrowed $20,000 from the bank for one year at 5 percent per
annum, with interest to
be paid at the end of the loan.
(iii) He paid $10,400 in wages and owed $3000 in wages for work done.
(iv) He bought catering equipment for $6000, which has an expected useful
life of three years.
(v) He paid other expenses of $12,300.
(vi) John sent bills for $60,000 to customers for work performed between 1st
July 2015 and 30th June 2016.
th
By 30 June he had received $45,000 and expected the other $15,000 by
August. Using the concepts of accrual accounting, calculate John‟s profit for
the year ended 30th June, 2021
07 What is the best use for the cash on the Company‟s Balance Sheet? How does
the Company plan to raise capital in order to fund future growth?
08 Write short notes on the following:
(i) Accounting Cycle.
(ii) Accrual Accounting.
(iii) Periodic Inventory System.
****************************************************
4
Combined Competitive Examination, 2021
Economics
(Paper-I)
Monday the 14th February, 2022.
Time: 02:00 pm to 05: 00 pm Maximum marks. 100
=================================================
Note Attempt any Five questions. All questions carry equal marks.
=================================================================
Question No.
01 Explain price and output determination under monopoly. Why monopoly price
is higher than perfect competition.
02 Explain the circular flow of national income in a Three Sector Economy.
03 Explain and draw IS-LM Curves to show general equilibrium in goods and
money markets.
04 “Additional benefit that a person drives from given stock of anything
diminishes with the growth of stock that he already has”. Please discuss.
05 Central Bank is responsible for financial stability of a country. Discuss.
06 Critically examine Ricardian‟s theory of comparative advantage.
07 What are different instruments of credit control. Which one is more effective?
Discuss.
08 Explain how equality of saving and investment brings equilibrium of national
income. Explain with the help of a diagram.
****************************************************
1
, SINDH PUBLIC SERVICE COMMISSION, HYDERABAD.
Combined Competitive Examination, 2021
Economics
(Paper-II)
Tuesday the 15th February, 2022.
Time: 02:00 pm to 05: 00 pm Maximum marks. 100
=================================================
Note Attempt any Five questions. All questions carry equal marks.
=================================================================
Question No.
01 Do you believe that health, labour productivity, and income levels are all linked?
Explain in the light of development models.
02 What exactly is meant by “Absolute Poverty”? What are the preferred measurements
of income poverty among development economists? How do income poverty
measures differ from the United Nations Development Program‟s Multidimensional
Poverty Index? Why should we be worried about measuring poverty in emerging
countries?
03 Explain balance of payment position of Pakistan. Also give reasons for disequilibrium
in B.O.P. Suggest measures.
04 Explain import substitution policy and export led growth strategy in Pakistan.
05 World is moving towards renewable energy and much has been done so far in this
perspective whereas the contribution of renewable energy is very low in total energy
production in Pakistan compared to Europe and the other parts of the World. What do
you think are our shortcomings and how can we improve the renewable energy
production in Pakistan.?
06 Large-Scale Manufacturing (LSM) rose by a solid 68.07 percent in April 2021,
demonstrating spectacular growth in industrial output for the third consecutive month
in Pakistan. What are the reasons behind such phenomenal growth in LSM in
Pakistan? Discuss.
07 Green economic growth required a paradigm shift. What are the challenges that
Pakistan must confront in its attempt to become a green economy? Discuss in details.
08 According to the findings of a France-based market research firm Ipsos, Pakistan
loses more than Rs300 billion yearly due to tax evasion in five economic sectors, with
illicit auto lubricants and tyres trade causing the most damage to the exchequer of all.
What are the social, economic, institutional and political factors responsible for such
huge tax evasions? Discuss.
****************************************************
2
, SINDH PUBLIC SERVICE COMMISSION, HYDERABAD.
Combined Competitive Examination, 2021
Accountancy & Auditing (Paper-I)
Monday the 14th February, 2022.
Time: 02:00 pm to 05: 00 pm Maximum
marks. 100
=================================================================
=============
NOTE: ATTEMPT ANY 05 QUESTIONS. ALL QUESTIONS CARRY EQUAL
MARKS.
=================================================================
=============
Question No.
01 Why Accounting is referred to as “Business Language”? What are the
Functions of Accounting?
02 What factors influence International Accounting practices? What forces are
leading to the global convergence of accounting practices?
03 ABC Works Company uses a job-order costing system for its products, which
pass from the Machining Department, to the Assembly Department, for
finished-goods inventory. The Machining Department is heavily automated; in
contrast, the Assembly Department performs a number of manual-assembly
activities. The company applies manufacturing overhead by the use of machine
hours in the Machining Department and direct-labour cost in the Assembly
Department. The following information relates to the year just ended:
Machining Assembly
Department Department.
Budgeted manufacturing overhead $2,000,000 $1,540,000
Actual manufacturing overhead 2,130,000 1,525,000
Budgeted direct-labour cost 750,000 2,800,000
Actual direct-labour cost 725,000 2,890,000
Budgeted machine hours 200,000 50,000
Actual machine hours 212,500 55,000
The data that follows pertain to job no: DC66, the only job in production at
year-end.
Machining Assembly
Department Department.
Direct material $12,250 $3,350
Direct labour 13,950 29,300
Machine hours 180 75
3
, Requirement: (i) Determine the pre-determined overhead rates used in the
Machining
Department and Assembly Department.
(ii) Determine whether overhead was under or over applied during
the year in each department.
(iii) If company adjusts over or under applied overhead into cost of
goods sold, would the company‟s cost of goods sold account
increase or decrease? Explain.
P.T.O.
04 Explain the difference between the terms „Liquidity‟ and „Solvency‟ when
used in Ratio Analysis?
05 ABDC Corporation has following inventory:
Beginning Inventory 100 units @ $8.00 = $ 800
Purchase # 1 200 units @ $6.00 = 1,200
Purchase # 2 100 units @ $12.00 = 1,200
Total 400 units $ 3,200
Use the information to answer the following questions.
(i) What is ending inventory under the average cost method?
(ii) What is cost of goods sold under LIFO?
(iii) What is cost of goods sold under FIFO?
06 Ali setup his own catering business on 1st July 2015. During the 12 months
upto 30th June 2021 the following transactions occurred:
(i) John put $10,000 of his own money into the business.
(ii) He borrowed $20,000 from the bank for one year at 5 percent per
annum, with interest to
be paid at the end of the loan.
(iii) He paid $10,400 in wages and owed $3000 in wages for work done.
(iv) He bought catering equipment for $6000, which has an expected useful
life of three years.
(v) He paid other expenses of $12,300.
(vi) John sent bills for $60,000 to customers for work performed between 1st
July 2015 and 30th June 2016.
th
By 30 June he had received $45,000 and expected the other $15,000 by
August. Using the concepts of accrual accounting, calculate John‟s profit for
the year ended 30th June, 2021
07 What is the best use for the cash on the Company‟s Balance Sheet? How does
the Company plan to raise capital in order to fund future growth?
08 Write short notes on the following:
(i) Accounting Cycle.
(ii) Accrual Accounting.
(iii) Periodic Inventory System.
****************************************************
4
