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Mastering Time Management: Essential Techniques for UGC NET Aspirants to Ace the Exam

noreply@blogger.com (JRF ACHIVERS) — Mon, 12 Aug 2024 17:42:00 +0000

Mastering Time Management: Essential Techniques for UGC NET Aspirants

Preparing for the UGC NET exam can be a daunting task, with vast syllabi to cover and a competitive environment to navigate. Success in this exam requires more than just knowledge; it demands effective time management. In this post, I'll share some expert time management techniques tailored specifically for UGC NET aspirants, ensuring you can maximize your study time and increase your chances of success.

1. Set Clear Goals

Why It Matters:

Setting clear, achievable goals is the foundation of effective time management. Having a clear vision of what you want to accomplish helps you stay focused and motivated.

How to Do It:

Break Down Your Syllabus: Divide the syllabus into manageable sections. This will make it easier to set specific, achievable targets.

Set SMART Goals: Ensure your goals are Specific, Measurable, Achievable, Relevant, and Time-bound. For instance, "Complete the first three units of Paper 1 in two weeks" is a SMART goal.

Prioritize: Use the Pareto Principle (80/20 rule) to focus on the most important topics that will likely yield the highest marks.

2. Create a Study Schedule

Why It Matters:

A well-structured study schedule ensures you allocate adequate time to each subject, reduces stress, and helps maintain a balanced approach to preparation.

How to Do It:

Daily and Weekly Plans: Develop both daily and weekly study plans. Daily plans help you focus on immediate tasks, while weekly plans provide a broader overview.

Include Breaks: Schedule short breaks between study sessions to avoid burnout and maintain productivity.

Flexibility: While having a schedule is important, it's equally important to be flexible and adjust your plan as needed based on your progress and any unexpected challenges.

3. Leverage Time Blocking

Why It Matters:

Time blocking involves dedicating specific blocks of time to different tasks, helping you concentrate and avoid distractions.

How to Do It:

Block Out Study Time: Assign specific time slots for different subjects or topics. For example, allocate 9:00 AM - 11:00 AM for Paper 1 and 3:00 PM - 5:00 PM for Paper 2.

Eliminate Distractions: During your study blocks, eliminate all potential distractions, including phone notifications and social media.

Regular Review: At the end of each block, take a few minutes to review what you've learned and assess your understanding.

4. Implement the Pomodoro Technique

Why It Matters:

The Pomodoro Technique is a time management method that boosts focus and productivity by breaking work into intervals, traditionally 25 minutes in length, separated by short breaks.

How to Do It:

Set a Timer: Work for 25 minutes, then take a 5-minute break. Repeat this cycle four times before taking a longer break of 15-30 minutes.

Stay Focused: Use this technique to maintain high levels of concentration, especially when tackling challenging or monotonous topics.

Track Your Progress: After each session, make a note of what you've accomplished to track your progress over time.

5. Utilize Active Learning Techniques

Why It Matters:

Active learning techniques promote deeper understanding and retention of information, making your study time more effective.

How to Do It:

Engage with Material: Instead of passively reading, engage with the material through summarizing, questioning, and discussing with peers.

Teach What You Learn: Teaching others is a powerful way to reinforce your understanding. Try explaining concepts to a study partner or group.

Practice with Past Papers: Regularly solve past papers and practice questions to apply your knowledge and get familiar with the exam format.

6. Balance Study with Rest and Recreation

Why It Matters:

Adequate rest and recreation are crucial for maintaining mental health and ensuring long-term productivity.

How to Do It:

Get Enough Sleep: Aim for 7-8 hours of sleep each night to keep your mind sharp and ready for study.

Engage in Physical Activity: Regular exercise can help reduce stress and improve focus.

Pursue Hobbies: Engage in activities you enjoy to recharge and maintain a positive outlook.

Conclusion

Mastering time management is an essential skill for UGC NET aspirants. By setting clear goals, creating a structured study schedule, and employing techniques like time blocking and the Pomodoro Technique, you can make the most of your study time. Remember to balance your studies with rest and recreation to maintain your well-being throughout the preparation period.

Implement these strategies to enhance your preparation and increase your chances of success in the UGC NET exam. With dedication and smart time management, you can achieve your academic and professional goals. Good luck!

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Strategize your success: crafting an effective study plan for UGC NET

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Strategize your success: crafting an effective study plan for UGC NET

noreply@blogger.com (JRF ACHIVERS) — Wed, 07 Aug 2024 20:11:00 +0000

Creating a study plan for the UGC NET exam is essential for achieving success in this competitive exam. A well-structured plan not only helps in managing time effectively but also ensures comprehensive coverage of the syllabus. In this blog post, we'll guide you through the steps to create an effective study plan for UGC NET, along with practical tips to keep you motivated and on track.

Introduction

The UGC NET exam is a crucial milestone for aspirants looking to qualify for assistant professor and junior research fellowship positions in Indian universities and colleges. With a vast syllabus and intense competition, having an effective study plan is vital for success. This guide will help you create a structured plan tailored to your needs, ensuring you cover all the essential topics and maintain a consistent study routine.

Understanding the UGC NET Exam

Before diving into the study plan, it's essential to understand the UGC NET exam structure:

Two Papers: The exam consists of two papers—Paper 1 (General Paper) and Paper 2 (Subject-Specific Paper).

Objective Type Questions: Both papers comprise multiple-choice questions.

Total Duration: The exam duration is 3 hours, with no break between papers.

Familiarize yourself with the UGC NET syllabus to identify key areas of focus. Break down the syllabus into manageable sections, making it easier to plan your study schedule.

Setting Clear Goals

Setting clear, achievable goals is the foundation of an effective study plan:

SMART Goals: Ensure your goals are Specific, Measurable, Achievable, Relevant, and Time-bound.
Example: "Complete reading the entire Paper 1 syllabus by [specific date]."
Prioritize Topics: Identify high-weightage topics and allocate more time to them. Balance your strong and weak areas to ensure comprehensive preparation.

Time Management

Effective time management is crucial for UGC NET preparation. Here’s how to structure your study schedule:

Daily Study Schedule

Allocate Study Hours: Decide how many hours you can dedicate to studying each day. Ensure your schedule includes breaks to avoid burnout.
Sample Schedule: For full-time students, 6-8 hours of study may be feasible, while working professionals might aim for 3-4 hours.

Weekly and Monthly Plans

Set Weekly Goals: Break down your syllabus into weekly targets. This approach helps track progress and keeps you motivated.
Monthly Milestones: Evaluate your progress at the end of each month and adjust your plan as necessary.

Choosing the Right Study Materials

Selecting the right study materials is crucial for effective preparation:

Books and Online Resources: Use recommended books and trusted online resources to cover the syllabus comprehensively. Some popular options include:

"Trueman's UGC NET Paper 1" for General Paper
Subject-specific books for Paper 2 (e.g., "NTA UGC NET/SET/JRF - Commerce" for Commerce)

Online Courses and Video Lectures: Leverage online courses and video lectures to reinforce your understanding.

Incorporating Revision and Practice

Regular revision and practice are essential components of a successful study plan:

Regular Revision
Spaced Repetition: Use spaced repetition techniques to reinforce learning over time.
Active Recall: Test your understanding by recalling information without looking at your notes.

Mock Tests and Previous Year Papers

Mock Tests: Simulate exam conditions by taking regular mock tests. Analyze your performance to identify areas for improvement.
Previous Year Papers: Solve past papers to understand question patterns and frequently asked questions.

Staying Motivated and Focused

Maintaining motivation throughout your preparation journey is key to success:

Positive Study Environment: Create a conducive study environment, free from distractions.
Motivational Tools: Use motivational quotes, videos, and success stories to keep your spirits high.

Avoiding Burnout

Self-Care: Prioritize self-care by incorporating physical exercise, meditation, and adequate rest into your routine.
Recognize Burnout: Be aware of burnout signs and take necessary breaks to rejuvenate.

Adapting and Improving the Plan

Flexibility is crucial for a successful study plan:

Adaptability: Be prepared to adjust your plan based on progress and changing circumstances.
Seek Feedback: Engage with peers, mentors, or online forums to gain insights and feedback on your preparation.

Conclusion

Creating an effective study plan for the UGC NET exam involves setting clear goals, managing time efficiently, choosing the right materials, and maintaining consistent motivation. By following the steps outlined in this guide, you'll be well on your way to achieving success in the UGC NET exam. Remember, consistency is key, so stay committed to your plan and make adjustments as needed.

Call to Action

Start crafting your study plan today and share your progress or any questions in the comments section below. Good luck on your UGC NET journey!

Also, read about:

Mastering Time Management: Essential Techniques for UGC NET Aspirants to Ace the Exam

JOIN THESE CHANNELS :

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Income Tax Definition and Types | Who has to pay income tax? | What is the minimum salary to pay income tax?

noreply@blogger.com (JRF ACHIVERS) — Sun, 15 May 2022 17:29:00 +0000

Introduction

Every country wants to be a world superpower. This is only possible by the economic development of the nation. It takes a lot of funding from a number of different sources. Income tax is a very important direct tax and a significant source of revenue for the government. Because of the freedom movement (military mutiny) of 1857, most of the nation's assets were destroyed. To cope with these financial difficulties, income tax was introduced in India for the first time in 1860 by Sir James Wilson. It was based on the Income Tax Act of Great Britain relating to the valuation of the following four incomes:

(i) Salary and Pension;

(ii) Interest on Securities;

(iii) Income from Land and Property;

(iv) Income from Business and Profession.

After various amendments, a new Income Tax Act of 1886 was enacted to make income tax a permanent and principal source of public revenue. That act has been in place for 32 years. Afterwards, the Income Tax Act, 1919 and 1922 was promulgated on the recommendations of the "All India Taxation Inquiry Commission". In 1958 the government appointed the “Direct Taxes Administration Enquiry Committee” under the Chairmanship of Dr Mahavir Tyagi recommends ways to check tax evasion, reduce the complexities and minimise the inconveniences caused to assess.

The Indian Tax Act of 1961 covers all of India. It came into force with effect on 1st April 1962 with 298 sections, various sub-sections and 14 schedules for the determination of the present tax structure. Since 01-04-1990 it is also applicable in Sikkim. In 1991-92 the government set up a committee to suggest measures to improve the current tax structure, chaired by "Raja Chailleya". At present, there are approximately 625 clauses in the Income Tax Act. Total income and income tax for the current 2019-20 assessment year are calculated by the provisions of the Income Tax Act, 1961 and the Finance Act, 2017.

Definitions of Relevant Concepts in the Income Tax Act, 1961:

(1) Income: Income tax is applied against the previous year's income. However, there is no definition of income in the 1961 Income Tax Act. As a business student, we developed this concept of an income-based accounting system. Under this system, income means the surplus of income over cost. Income consists of:

i. Income from salary

ii. Income from house property

iii. Income from business and profession

iv. Income from capital gains

v. Income from other sources

It refers to five types of income of a taxable person.

One important point to remember when determining income:

a) There is no difference between lawful and illegal income.

b) Income and loss are not distinguished,

c) An identified source of income may exist,

d) The income source can be temporary or permanent,

e) Revenues do not need to be collected in cash, they may be received in kind,

f) PIN money (savings to someone else on surplus income) cannot be treated as taxable income.

g) The impugned income is taxed against the beneficiary of the income,

h) Dharmada (amount collected by appraisers from others for charitable purposes) is not an appraiser's taxable income,

i) The reimbursement of expenses is not revenue,

j) Misappropriation of income (misappropriation of income from another person under a statutory obligation) and application of income (misappropriation of income from another person voluntarily),

k) Income is taxable on accrual accounting or upon receipt.

(2) Gross Total Income (G.T.I.): G.T.I. means the total income of an appraised person from all counts of income after allowing their deductions in respect of, but before allowing deductions from Article 80C to Article 80U.

(3) Total / Taxable Income: The total income means the amount of income left after making all the deductions allowed under section 80C to section 80U from the G.T.I. It is the income on which the tax to be paid is determined. Round in multiples by ten rupees.

Total Income = G.T.I. – Deductions u/s 80C to 80U

(4) Casual income: income for which evaluators are not making efforts. This income is dependent upon the evaluator's chances and luck. Casual earnings include lotteries, crosswords, horse racing, gambling, betting, playing cards, television, games, etc.

(5) Person: Person refers to:

(a) Individual – the human being – male or female;

(b) H.U.F. (Hindu Undivided Family/Joint Hindu Family);

(d) Firm;

(e) Association of Person and Body of Individuals;

(f) Local authority, statutory corporations, an autonomous body, club, cooperative society;

(g) Any other artificial person, not falling within any of the above e.g. a Hindu Idol or a Deity (Bala Ji etc.) or God or Allah.

(6) Person Assessed: A person who has met any of the following conditions:

(a) a person liable to pay income tax,

(b) the person liable for the payment of any penalty imposed by the Ministry of Taxation,

(d) a person whose income is to be investigated to confirm a specific transaction between them and another person,

(e) a person in respect of whom procedures for assessing their income have been initiated.

(f)Deemed Assessed Person (Legal Representative): The income of the deceased is taxable in the hands of his or her legal heir. He may be the agent of a stranger, a madman, a minor or an incompetent person.

(g) The person assessed in default: If a person is responsible for doing a job under the law and does not do it, he or she is referred to as the "person assessed in default". E.g. No T.D.S. was deducted by the Employer from the employee's taxable salary income.

(7) Securities: Written documentary evidence from the organisation in which the appraiser has invested money to obtain a return on their investment. Securities includes shares, debentures, bonds, units, mutual funds, certificates, Indira/ Kisan Vikas Patra, etc. There are two types of securities: government securities and commercial securities. Income from securities is taxed as business income or other source income, as applicable.

(8) Previous year: The year the income was earned or received is referred to as the previous year. The previous fiscal year is the fiscal year immediately preceding A.Y. starts from 1 April and ends on 31 March of next year. The maximum duration of the preceding year is approximately 12 months for all revenue managers. The previous year may be for less than 12 months in the following circumstances:

(i) new company created,

(ii) close of business during the fiscal year,

(iii) when an appraiser wants to leave India and does not intend to return to India within the same year.

The income tax is applicable to the previous year's income. But there are some exceptions where the previous year and the evaluation year are the same for the relevant year. These include the following: .

(a) A non-resident's income from a marine transportation business. (7½ % of transport)

(b) the income of the person who moved from India in the preceding year.

d) Transfer of goods to avoid tax.

e) If an enterprise or occupation is abandoned.

Appraisers may close their accounts on a date other than March 31 because of personal or religious reasons. But they would be required to prepare their accounts on March 31 to file their tax returns.

(9) Assessment Year: The assessment year is the 12 months beginning on April 1 and ending on March 31 of the following year, immediately after the end of the preceding year. A taxable person is subject to tax on income from the previous financial year in the next financial year (A.Y.). If the prior year is 2017-2018 then A.Y. of this is 2018–2019.

(10) Company: The meaning and types of various companies as per the Company Act 2013 are as below:

Company is an artificial person created by law, having separate entity and a common seal. ( By L.H. Haney)

(i) Indian company: A company which is registered and incorporated according to the Companies Act 1956.

(ii) Foreign company: A company which is registered and incorporated according to the provisions of any Foreign Companies Act.

(iii) Domestic company: An Indian company whose business is managed and controlled from India during the previous year.

(iv) Closely-held company: A company whose total share capital is subscribed by a few number of shareholders. (Private companies).

(v) Widely held company: A company whose maximum share capital is subscribed by the public. (Public companies).

(11) Substantial interest: Specific shareholding.

(a) For closely held companies: with 10 % or more of the capital or voting rights.

(b) For all other companies: 20% or over 20% of the share capital or voting rights.

(12) Vouchers: Any written document evidencing any transactions carried out by the appraiser that may be filed as evidence. Vouchers are very useful for accounting management as well as auditors for their work.

(13) Tax Evasion: When a person reduces his total income by making false claims or by withholding the information regarding his real income so that his tax liability is reduced, is known as tax evasion. Tax avoidance is not only illegal, it is also immoral, antisocial and anti-national.

(14) Tax Avoidance: Tax avoidance is an art of preventing and reducing tax liability by availing the advantages of certain loopholes in the law without breaking rules, regulations and the provisions of the Income Tax Act. It does not include fraud, concealment or other illegal measures. This is a device that technically meets the requirements of the act, but in fact does not comply with the legislative intent.

(15) Tax Planning: Tax planning is an arrangement of an assesses’s financial affairs in such a way that without violating any legal provisions of the I.T.Act, full advantages are taken of exemptions, deductions, rebates and reliefs permissible under the Act so that burden of tax liability can be reduced. Tax planning is a law in all four corners of the Act, and it is not an easy way to escape the tax. As a result, fiscal planning is legal, social and ethical.

(16) Tax rate: The income tax is calculated on the contributor's taxable income for the previous year at the rates applied by the finance law applicable to that taxation year.

(a) Occasional Income Tax – 30%

(b) Tax on L.T. capital gains generally – 20%

(d) On other income

At normal rates

(i) In the case of an Indian resident who is 60 years of age or older but under 80 years of age:

Up to Rs.3, 00,000 – Nil.

Next year Rs.2.00.000 – 5%

At next Rs.5.00.000 – 20%

In the case of exceeding Rs.10,00,000 - 30%

(ii) In the case of a senior Indian resident, male or female aged 80 years or older:

Up to Rs.5,00,000 – Nil

At next Rs.5.00.000 – 20%

For exceeding Rs.10,00,000 – 30%

(iii) In the case of a male or female resident of India under the age of 60,

Up to Rs.2,50,000 – NIL.

Next Rs.2.50,000 – at 5%

At next Rs.5.00.000 – 20%

If exceeding Rs.10,00,000 – 30%

When the taxable income of a resident individual does not exceed Rs3,50,000 then a rebate of Rs2,500 and tax payable whichever is less is allowed u/s 87 A

The surcharge is 10% if the total income exceeds Rs.50 lakhs but does not exceed Rs. A crore in the previous year and 15% if the total income is greater than Rs. one crore in the previous year.

Finally, 4% of the tax is collected like Education Cess.

(17) Agricultural income: Under the 1961 Indian Income Tax Act, agricultural income was fully exempt until the 1973-74 taxation year. But since the assessment year 1974-75 agriculture income will be taken into consideration in calculating the tax liability of an individual, H.U.F., AOP and BOI provided non-agriculture income of an assessee is more than the minimum exemption limit (i.e. Rs.2,50,000, in case of male or female, Rs.3,00,000 in case of the senior assessee and Rs.5,00,000 in case of the super senior assessee) and net agriculture income is more than Rs.5,000 during the previous year. When the total/taxable income of an appraised person is to be calculated, farming income may not be included in the taxable income.

I. Any rent or income on farmland in India where agricultural operations are carried out by a farmer the previous year. Two types of farming operations exist:

(a) Basic operations: all activities required to produce agricultural products are known as basic operations. Such as tilling of land, sowing of seeds, and watering and planting the saplings.

(b) Subsequent Operations: All activities that are necessary to produce more commodities on farmland are referred to as subsequent operations. These activities consist of weeding, harvesting, supplying fertilisers, and cutting and processing the product. It also covers the activities necessary to make the product consumable by the consumer or to make it suitable for the market.

When a person has only carried out subsequent transactions, the income he has earned cannot be regarded as farming income. Agriculture product does not merely mean the consumable goods or foods and grains but it also includes the production of commercial goods i.e. jute, tobacco, indigo, etc.

II.Income earned through specific process: Income earned by a farmer through those activities which are required to make the product usable by consumers or fit for the market for sale is also an agriculture income. To this end, a specific procedure must be applied to these products, e.g. jute, tea and coffee drying, tobacco drying, cotton ginning, etc.

When a farmer sells his products in the market in his shop, the income so earned by the farmer is also included in agriculture income provided the products are produced by himself on agricultural land.

III.Income from farm house: Income from farm house is also an agricultural income provided the following conditions are satisfied.

(i) The agricultural home must be the property of the appraiser.

(ii) It is situated on or in the immediate vicinity of farmland.

(iii) It can be used as a dwelling house, outer house or warehouse.

(iv) Land receipts or local taxes are levied on these lands by the government or local authority.

If real estate income or local tax is not payable on the land, then:

a) The land is located in a rural or non-urban region.

b) The land is located at a distance of more than 8 km from the limits of the municipality or township council.

c) Land falls within the jurisdiction of a municipal committee with a population of less than 10,000.

Income from the flower’s garden, income from the lease of land for grazing of cattle required for agriculture products, profit from the firm, interest and remuneration from the firm received by the partner and compensation received from insurance companies against loss are also included in agriculture income.

IV. Partial income from agriculture.

(a) Income of Sugar Mills: In determining the real business income from a sugar mill, the average market price of sugarcane is deducted from total income like agriculture income although sugarcane was produced by the sugar mill on its agricultural land. In this case, real spending on sugar cane production will not be taken into account. Any surplus of the market price of sugar cane in relation to the cost of production is also regarded as agricultural income.

(b) Income from growing and manufacturing of tea: Out of this total income 60% is agriculture income and 40% is business income for tea growers in India.

(c) Income from growing and manufacturing coffee: 75% of total income from growing and manufacturing of coffee is agriculture income and 25% is his business income chargeable for tax.

When income was derived from the sale of coffee grown, cured, roasted and grounded by the seller in India with or without mixing of chicory or another flavour then 60% of total income is agriculture income and 40% is the business income of the assessee.

(d) Income from the cultivation and production of latex and centrifuged Cenex: 65% of total income is agricultural income while 35% is the business income of the farmer or evaluator.

Some important examples of non-agricultural incomes:

(i) Income from the sale of free-growing grasses, bamboos, trees or plants.

(ii) income from contracts, ferries and fisheries, and

(iii) Royalties from rock mines or quarries,

(iv) Income from land (clay sold) provided to brick-making contractors,

(v) Income from water supply to irrigate another farmer's land,

(vi) Revenue from the resale of live crops, and

(vii) Income from dairy, cattle or poultry production,

(viii) Dividend or remuneration of an undertaking engaged in agriculture,

(ix) Revenues from butter, cheese making and lake cultivation,

(x) Income from land rented for the storage of agricultural property of others,

(xi) Farm Land Sale Commission,

(xii) Compensation for Requisition of Land for Service Purposes,

(xiii) Income from the sale of a branch,

(xiv) Income from the sale of salt made from inundated water,

(xv) Income of an agricultural home that is used for non-agricultural purposes,

(xvi) Remuneration of trustee based on farm income of wakf,

(xvii) reward on the occasion of higher production compared to other farmers,

(xviii) Interest in rental arrears on farmland.

What are the Barriers to Effective Communication? Barriers and Ways to Overcome it

noreply@blogger.com (JRF ACHIVERS) — Sat, 22 Jan 2022 06:57:00 +0000

BARRIERS TO COMMUNICATION

Introduction:- The information that is to be delivered must be clear and correct. If one person sends a message and the other person hears it and understands it in the same manner that the sender intended, the communication process is said to be full and successful. Communication, on the other hand, is not always fruitful. Certain communication constraints have an impact on the message's clarity, accuracy, and efficacy. Several factors can prevent the message from reaching its intended destination or from having the desired effect. There might also be a problem with the communication system.

Types of Communication barriers:- Because communication obstacles impact the key factors in the communication process, they may be classified in a variety of ways.

Semantic barriers:- This barrier is connected to the message coding and decoding process. The following are examples of semantic gaps discovered in people's day-to-day usage:

1. Words having similar pronunciation but multiple meanings: They have the same pronunciation but different meanings. As an example, consider the words sight, site, and citation.

2. Badly expressed message: The message is poorly presented due to a lack of clarity and accuracy. Lack of coherence, difficult phrase structure, jargon, and other flaws are major causes of such communications.

3. Wrong interpretation: When one interprets a sign, his interpretation may differ from that of others.

4. Technical Language: When technical terminology is employed in communication, it creates hurdles to interpreting the message in the same sense and spirit. When technical jargon or expert languages are employed in communication and discussion, tension, confusion, and misunderstanding arise between the sender and the receiver.

Organizational Barriers:- It might be the result of contradicting management rules, too many levels of management, or a conflict between line and staff operations. It might be caused by the specialised nature of functions or even the specific language of such functions. It might have originated via formal, informal, or grapevine dealings. The following are some organisational communication barriers:

1. Organization culture and climate: Every organization has its own culture and atmosphere. The independence, thrust, and interaction pattern among employees in an organisation are ultimately influenced by the environment and culture of the company.

2. Organizational rules and regulations: The organization's rules and regulations differ greatly from one another. They may be so inflexible that they impact information flow in the incorrect direction.

3. Status relationships: The link between status, power, and position works as a barrier to communication efficacy. Individuals may be unable to speak what they want to say due to their fear of the other party's position and authority in the communication process. A complicated hierarchical structure of the organisation, such as one that is excessively tall or has too much divisionalisation, may impede the free flow of communication.

4. Lack of cooperation between superior and subordinate: For many personal or organisational connections, there may not be an adequate collaboration between the superior and subordinate, which may lead to incorrect communication in an organisation.

Interpersonal Barriers:- Communication efficiency is heavily influenced by the interpersonal interaction between two people. When the sender and receiver are on the same economic, educational, and social level, and have a solid relationship, there is little to no communication barrier. However, there is a larger likelihood of miscommunication if there is a discrepancy at any level. The most typical illustration of this in an organisation is the Superior and Subordinate Barriers.

The subordinate must obey the superior's orders, complete all jobs effectively, and offer complete information about any situation that develops in the company or at work. Furthermore, the superior should have complete faith in himself and the subordinate.

1. Lack of proper channel: The organisational structure may be complicated, which may impact proper and effective communication from the subordinate. Because of the pressures of position, power, and authority, they may not feel free to speak.

2. No interest in communication: Subordinates may be uninterested in engaging in discourse, discussion, and engagement with their superiors, which has a negative impact on the communication process.

3. Lack of cooperation: A lack of collaboration and mutual understanding also leads to the concealment of specific information in the organisation between superiors and subordinates.

4. Lack of trust: A lack of trust and cooperation between the superior and the subordinate may result in infective communication.

5. The poor relationship between superior and subordinate: A healthy connection between bosses and subordinates must be developed often and openly. They must engage in order to strengthen the system of upward and downward communication. The superior must listen to the suggestions of the subordinates, as well as their issues, and must have trust in them. In the absence of all of this, it is possible that the subordinate will not grasp what the superior says.

6. Fear of penalty: If subordinate fear that he may face repercussions for exercising his right to free speech and upward communication, he may fail to provide a complete or accurate message to his superior.

Individual / Psycho-sociological Barriers: Individual or psycho-social obstacles are the most significant hurdles to interpersonal communication. People communicate in a variety of ways. Personal sentiments want, anxieties, hopes, likes, dislikes, attitudes, viewpoints, and opinions are also present in people. The emotional or psychological state of both parties participating in the communication process influences the meaning attributed to a message.

1. Style: Style, or the method in which a person communicates, entails numerous characteristics. While style overlaps with some of the other variables under consideration, it adds its own particular flavour.

2. Selective perception: The recipient may create his or her own universe around oneself. As he decodes communications, he conveys his curiosity and expectations. He may only accept as much knowledge as he deems appropriate for his universe of thought. As a result, the individual receives partial and unsuitable information, which has an impact on the communication process. Perceptual distortions can be caused by a bad self-concept or understanding, as well as a poor understanding of others.

3. Halo effect: People do not listen closely because of preconceived notions formed from previous experiences. Even if one of the parties has a halo effect, the flow of communication will be disrupted.

4. Status relationship: There may be status and power connection, which may obstruct communication and reduce its efficacy. Status effects also impede communication since individuals in higher levels in organisations have a propensity to "say a lot to subordinates but not listen," making effective communication impossible.

5. Poor attention and Retention: If information is not adequately retained, almost half of it is lost. Each of these issues may affect the sender. It was also stated that around 30% of information is lost with each oral transfer. Human memory does not always retain what is told to it. This leads to a breakdown in communication and needs the information being repeated over many channels.

6. Inattention: One of the primary psychological hurdles is the receiver's distracted mind and hesitant non-listening. People do not respond to ideas/messages received through communication as a result of this.

7. Undue importance of written words: The overemphasis on written words may result in information loss. The subsequent information is not accurate or correct. Written communication frequently conveys what has to be done but not why it needs to be done. It necessitates the ability to persuade.

8. Defensiveness: If a message makes one feel threatened, one gets defensive and responds in ways that impede understanding. Such protective behaviour obstructs comprehension.

9. Closed Mind: A person's thinking might become narrow due to a lack of intellectual foundation, restricted reading, and narrow hobbies. This restricts one's capacity to absorb new concepts. People with closed minds are resistant to fresh knowledge or ideas for change.

10. State of Health: Physical condition can have an impact on the effectiveness of all communication abilities. When one's health is deteriorating, one's capacity to communicate suffers since the mind is not awake and perception is impaired.

11. Filtering: The practice of minimising the details or characteristics of communication is known as filtering. The message is reduced by each individual who gets it based on their or her comprehension of the circumstance. Much vital information may be lost or misread throughout this process, and the sender may fail to express what he wishes to say.

Cross-Cultural/ Geographic Barriers: Culture is a common set of values and characteristics of a group; it is the sum total of the ways of life developed by a community and passed down from generation to generation. Culture influences communication style and competency because it is so deeply ingrained in an individual's way of speaking, behaving, and thinking.

Among the important cultural distinctions are:

1. National Character/ Basic Personality.

2. Language

3. Values and norms of behaviour

4. Social relationships

5. Concepts of time

6. Concepts of space

7. Nonverbal communication

8. Perception

TECHNICAL ASPECTS IN COMMUNICATION BARRIERS

Murphy's Law on Communication succinctly describes a few technical characteristics of communication barriers:

The following are the fundamentals of this communication law:

1. Communication frequently fails. Except that it succeeds by accident. The potential of success in the flow of communication is uncommon due to many impediments.

2. If the message may be understood in several ways, it will be understood in the manner that does the most harm. People receive messages in their own unique ways. In most circumstances, the most detrimental aspect of communication is taken into account.

3. Metacommunication Aside from the message, there is a Meta message in a communication. People's thoughts include meta messages as a result of their behaviours, such as being difficult to reach. It is the most crucial aspect of seat word language.

Noise in the communication process. Because of contextual circumstances, noise might infiltrate the communication process. It is one of the elements that influence the communication process. Mechanical distractions are the most common cause of the noise. Here are a few examples of noise distractions:

i. Human sounds

ii. Traffic

iii. Telephone instruments

iv. Channel defects

v. Birds

vi. Trees

vii. Fans

viii. Chalk writing

ix. Use of Duster

x. Projector and

xi. Nasal Voice

OVERCOMING THE BARRIERS IN COMMUNICATION

Constant effort is necessary to overcome the obstacles that emerge unknowingly during the communication process. Barriers may be overcome if a significant effort is put into the communication process, and effective and efficient communication is sought.

One approach to mitigate the effects of these obstacles is to constantly verify what the massage is during the communication process. The acts are to be done by the Sender, Receiver, and the two of them jointly.

Measures to Overcome Barriers in Communication

The following are some more strategies to overcome communication barriers:

1. Fostering a good relationship: Strong ties between the employer and the employee must be established in order to avoid misunderstandings and accept each other's points of view in order to remove obstacles and promote proper communication in the company.

2. Purposeful and well-focused Communication: Communication should be intentional and focused on a certain person. The recipient should not be left with the impression that the message was pointless or useless at the conclusion.

3. Coordination between superiors and subordinates: The efficacy of communication will be harmed if the superior think along a different line than the subordinate and vice versa. As a result, efficient communication requires good and proper coordination and collaboration between the superior and subordinate.

4. Avoid technical language: It is best to avoid using specialist terminology. Every attempt should be made to use a language that both the recipient and sender of the communication understand. Technical jargon should be avoided in the communication process.

5. Feedback: Through effective feedback, the receiver's selective perception should be reduced. To reduce obstacles, the disadvantage of selective perception should be explained.

6. Accuracy: To increase the efficacy of the communication, the message to be communicated between the parties should be accurate.

7. Clarity in a message: The message to be conveyed should be clear, practical, and without ambiguity.

8. Communication of organizational philosophy: Efforts must be made in a systematic manner to sensitise people to the organisational concept. It should be clearly expressed to its personnel in order for them to pay attention to their day-to-day communication.

9. Flat organizational structure: The structure of the organisation should be clear and basic. To eliminate unnecessary information control, the tall hierarchical structure should be abolished and replaced with a flat structure. The transmission of incorrect information to any member of the organisation will be damaging. The status gap will be reduced if the organisational structure is properly redesigned. When one individual is far higher in the hierarchy than another, the status impact might arise.

10. Division of labour: There should be a good division of labour among individuals in order to limit information overload and prevent information transfer delays.

11. Organization policies: The organization's policies should be written in such a way that they benefit all of its members equally. It should be adaptable and simple to apply. While the organization's aim must be clear, everyone must be aware of his or her position and rights in organisational communication. The network must be completely built so that such impediments do not exist.

12. Minimize semantic problem: People use the same term in multiple contexts or different words in the same context. It may surprise you to learn that the term "charge" has 15 different meanings in the English language. They also happen when people employ jargons or professional shorthand that they expect others to understand, or when they use language that is outside the other person's lexicon.

13. Proper communication channels: There is no need to provide a long discussion report if one expects a fast response from the receiver. One would most likely call him or go to his office to tell him what to do. Remember that a picture is worth a thousand words, and in this day and age, information can be created more rapidly in this manner as well.

14. Right feedback: One-way communication is faster, while two-way communication is more accurate. It assists both the sender and the recipient in measuring their knowledge and improving their combined commitment to the work in difficult settings. It allows both parties to detect and clarify misunderstandings, resulting in better reception and acceptance.

To communicate successfully, we must overcome all hurdles and develop our own talents in order to strengthen our present communication abilities.

Inductive Method versus Deductive Method || Maxims of Teaching

noreply@blogger.com (JRF ACHIVERS) — Mon, 17 Jan 2022 10:25:00 +0000

THE INDUCTIVE METHOD

It is a technique of evolution in which the mind progresses from the specific to the universal. Using concrete examples, the students reach a generalisation.
The youngster is encouraged to seek out the truth for himself.

MERITS OF THE INDUCTIVE METHOD

Self-acquired knowledge is converted into 'wisdom.'
It encourages mental activity in students and turns them into active participants in the learning and teaching process.
It makes the lecture more engaging by putting the pupils in difficult circumstances.
The technique provides pupils with the opportunity to develop self-reliance and self-confidence.
The student's interest is maintained until the conclusion when generalisations are reached.

DEMERITS OF INDUCTIVE METHOD

Inadequate data can often lead to incorrect generalisations by the learner.
The procedure is extremely sluggish and time-consuming.
In the case of little children, it is ineffective.
It is not appropriate for the teaching of subjects where the emphasis is on the teaching of facts.
The inductive technique is not a stand-alone method.

DEDUCTIVE METHOD

In the deductive approach, students are given rules, generalisations, and principles and then asked to test them using specific instances.

MERITS OF THE DEDUCTIVE METHOD

• The teacher's job is made easier. He lays forth broad concepts and then backs them up.

• This procedure is highly cost-effective. It saves both students' and teachers' time and energy.

• It is ideal for little toddlers who are unable to uncover truths for themselves. They are given ready-made stuff.

DEMERITS OF THE DEDUCTIVE METHOD

• Knowledge is not self-acquired and, as a result, is not adequately digested.

• The youngster is robbed of the joy of self-activity and self-effort because he is provided ready-made formulae, principles, and regulations.

• It fosters memorising of information that is quickly forgotten, rendering knowledge meaningless. For children who lack the ability to understand abstract ideas in the absence of specific examples, this strategy is unnatural and psychological.

• It does not foster drive and enthusiasm in learning.

• It fails to instil in kids self-confidence and initiative.

Maxims of Teaching

A maxim is a basic idea or ground rule that has grown over time.

It serves as a guideline for future conduct or behaviour. Teaching has its own set of maxims, which are described more below.

1. From simple to complex: The instructor should begin with elementary items and ideas, which may be shown using real-life examples if feasible. A teacher can then progressively progress to ideas and technical terminology. This piques learners' interest in gaining new knowledge. This aids in memory retention.

2. From known to unknown: This relates to the first maxim. When new information can be related to previously learned information, retention improves.

3. From seen to unseen: Students should be taught about the present so that they may better comprehend the past and the future.

4. From concrete to abstract: Students' mental growth is aided by concrete things, which they acquire acquainted with and defines micro-words for them later on.

5. From the particular to general: Students should be given instances first, followed by explanations of general rules and their derivations. This is accomplished through experiments and demonstrations.

6. From whole to part: Gestalt psychologists have demonstrated that humans view the full item first, then its pieces. For example, we see the tree first, then its trunk, branches, leaves, and so on. As a result, the introduction or summary of the issues is critical.

7. From indefinite to definite: The instructor should assist pupils in transforming undefined information into definite knowledge and should strive to clear their doubts.

8. From psychological to logical: During the early stages, psychological order is more significant, but logical order is more crucial for older learners.

9. From analysis to synthesis: Initially, the pupils have just a hazy understanding of the material. Analyzing an issue entails breaking it down into its essential elements, which are subsequently investigated. The term "synthesis" refers to the process of understanding by linking the information gained by examining the pieces. The analytic-synthetic technique should be used by teachers.

10. Follow nature: It refers to tailoring a student's education to his or her personality.

11. Training of senses: Sight, hearing, taste, smell, and touch are all gates to information. It is preferable if all or most of these senses can be used in teaching. The primary proponents of this principle are Montessori and Froebel.

12. Encouragement to self-study: Dalton's technique is self-study based.

Learning by doing relates to American philosopher John Dewey's educational philosophy. He proposed that learning should be active and practical, rather than passive and academic. He put this theory into action by establishing the University of Chicago Laboratory School. His ideas were influential in the development of progressive education techniques.

"I believe that the school must represent present life-life as real and vital to the child as that which he carries on in the home, in the neighbourhood, or on the playground." — John Dewey

Democracy and Education: John Dewey published An Introduction to the Philosophy of Education in 1916. Dewey attempted to combine, evaluate, and build on Jean-Jacques Rousseau's and Plato's democratic (or proto-democratic) educational ideas. He considered Rousseau's philosophy as exaggerating the individual, whereas Plato's philosophy exaggerated the society in which the person lived.

Pragmatism: is a philosophical tradition that originated in the United States around the year 1870. The philosophers William James, John Dewey, and Charles Sanders Peirce are typically credited with their inception. Peirce subsequently defined it in his pragmatic maxim: "Consider the practical repercussions of your conception's objectives." Then your perception of those consequences is your whole conception of the item.

The philosophy of pragmatism

"Emphasizes the practical application of ideas by acting on them to actually test them in human experiences".

Pragmatism focuses on a “changing universe rather than an unchanging one as the Idealists, Realists and Thomists had claimed”

Levels of teaching || Andragogy || Pedagogy || Huetagogy

noreply@blogger.com (JRF ACHIVERS) — Thu, 13 Jan 2022 16:00:00 +0000

LEVELS OF TEACHING

· MEMORY LEVEL

· UNDERSTANDING LEVEL

· REFLECTIVE LEVEL

Memory level of teaching

It is the initial and most careless level of instruction. It is concerned with the memory or mental ability that all living creatures possess. Teaching at the memory level is regarded as the lowest level of instruction. The capacity to think does not play a role at this stage.
Students only memorise the facts, information, formulae, and laws that they are taught.
The teaching consists solely of rote memorization of the topic content.
The teacher's position is central, whereas the students are secondary.
The study materials are well-organized and well-planned. The study material is presented sequentially by the teacher.
Memory level instruction is devoid of understanding. It is cognitive level instruction from a psychological standpoint.
Herbart is the most vocal supporter of memory level education.

Merits of memory level Teaching

This is beneficial for youngsters in lower grades. This is due to the fact that their intelligence is still developing, and they have a rote memory.
The teacher's position is significant at this level of education, and he is free to choose subject matter, prepare it, and deliver it at his leisure.
The knowledge learned at the memory stage of education serves as a foundation for the future when the student's intelligence and thinking are necessary.
Memory level education serves as the foundation for comprehending and reflective levels of instruction. It is required for teaching at the comprehending level.

Demerits of memory level teaching

This does not add to the student's ability growth.
Because pupils at this level learn by rote, the knowledge learned is not useful in real-life circumstances because it does not enhance students' talents.
The students are subjected to tight discipline, and cramming is required for this type of instruction.
Intelligence is unimportant in this form of instruction, and it lacks desire.

Understanding level

Understanding anything entails perceiving the meaning, grasping the concept, and comprehending the meaning. In the fields of education and psychology, "understanding" can be defined as "seeing the whole application of information" or "seeing connection" and "gaining a generalised insight."

Morrison is a major supporter of the understanding level of teaching.

The comprehension level training is of greater quality than the memory level education. It is more useful and insightful in terms of mental talents.
At this level of instruction, the instructor explains to the student the link between principles and facts and shows them how to apply these concepts. For this level of instruction, the memory level teaching barrier must be overcome.
Understanding level instruction is more valuable than memory level teaching. This gives pupils total control over the topic matter. The teacher's involvement is more active at the comprehension stage. This level's pupils are second to none.
No cramming is permitted at this level. The new information learned at this level is connected to previous knowledge. A generalisation is established based on facts, and the facts are then applied to new circumstances.

Merits of the understanding level of teaching

At this level of instruction, students are encouraged to employ their critical thinking skills.
The knowledge gained at this level serves as the foundation for the reflective level of instruction.
In this case, the instructor teaches subject information to the pupils in an ordered and sequential manner. The newly learned information is connected to previously acquired knowledge.
The pupils here do not learn by rote. Here, individuals learn through comprehending the facts and information, as well as their application and purpose.

Demerits of the understanding level of teaching

Subject-centred instruction is used at this level.
At this level, there is no interaction between the teacher and the pupils.

Reflective level of teaching

This level is often referred to as the contemplative level. Reflecting on something is devoting significant attention to it over time. It also entails deliberating on something for an extended period of time.
Hunt is a major proponent of reflective teaching.
The reflective level of teaching is regarded to be the greatest degree of teaching.
It is quite clever and practical.
A student can only reach this level after passing the memory and comprehension levels.
Teaching at the reflective level helps students to tackle real-world challenges.
At this stage, the learner is forced to confront a real-life challenge. The learner solves the problem by comprehending the scenario and applying his critical thinking skills.
At this stage, the emphasis is on recognising the problem, characterising it, and devising a solution. At this stage, the student's original thinking and creative ability grow.
The teacher's role in this level of instruction is democratic. He does not impose information on his students, but rather helps them develop their gifts and abilities.
The pupils play an active part.
A reflective level of teaching is one in which the problem is problem-centred and the learner is engaged in creative creativity.

Merits of reflective level teaching

This level of instruction is not teacher-centred or subject-centred; rather, it is learner-centred.
At the reflective stage of teaching, there occurs interaction between the teacher and the taught.
At this level, teaching is reserved for the upper class.
Teaching at this level is more attentive and beneficial than teaching at the memory or understanding levels.

Demerits of reflective level teaching

At the lowest level of instruction, it is not appropriate for little children. It is only appropriate for youngsters who are intellectually developed.
The study material is not structured nor pre-planned at this level. As a result, pupils are unable to get a systematic and organised understanding of their study courses.

Education: In its broadest definition, is a type of learning in which information, abilities, and habits of a group of people are passed down from generation to generation through teaching, training, research, or simply 'autodidactism' (self-learning).

Learning: Learning entails actions and encounters. Learning is described as the relatively permanent change in an individual's (current and potential) behaviour as a result of experience or practice. This can be contrasted with other main processes that result in somewhat permanent alteration, or maturation,' as a result of biological age.

Discussion, practise sessions, planned exercises, team projects, and research projects are all examples of active learning approaches. Later in this blog, several components of learning will be discussed.

Instruction: It is the teacher's delivery of content. It does not entail contact between the instructor and the student, but it does aid in the attainment of educational goals. Teaching is a broader idea, while instruction is a subset of it.

Training: The primary goal of training is to provide individuals with specialised, job-related, or technical skills. Again, teaching encompasses a broader idea than training.

Indoctrination: Indoctrination is the greatest level of instruction. Beliefs and ideas are imprinted on others during indoctrination and can be incorporated in teaching. Teaching may be done without indoctrination, but there can be no indoctrination without teaching.

Syllabus: A syllabus is an overview and summary of the subjects that will be taught in a course of education or training. It's a descriptive piece. A syllabus is created by an exam board or by the professor who monitors or regulates the course quality.

Curriculum: A curriculum is typically described as a predefined and specified course of study that students must complete in order to pass a given degree of school. Curriculum may also be described as the sum of all of a student's experiences in school, including academics, co-curricular activities, and other sorts of exposure.

Andragogy

Malcolm Shepherd Knowles

Malcolm Shepherd Knowles (1913–1997) was an American educator best known for coining the word Andragogy to refer to adult education.

· Andragogy, according to Malcolm Knowles, is the art and science of adult learning; consequently, andragogy refers to any type of adult learning. (Kearsley, 2010)

Self-Concept

As a person evolves, his or her self-concept shifts from that of a dependent personality to that of a self-directed human being.

Adult Learner Experience

As a person grows older, he or she collects a rising reservoir of experience, which serves as an expanding resource for learning.

Readiness to Learn

As a person grows older, his or her willingness to learn becomes more focused on the developmental demands of his or her social duties.

Orientation to Learning

As a person develops, his or her temporal perspective shifts from one of delayed application of information to one of immediate application. As a result, his/her learning orientation transforms from subject-centeredness to problem-centeredness.

Motivation to Learn

The urge to study becomes internal as a person grows.

Pedagogy

The science and art of education, its goals spanning from full human development to learned abilities.
The methodology and practice of teaching, particularly in academia and theory
Education-related philosophical and psychological theories
Methods and procedures for teaching Pedagogy are defined as the practice of supporting learners, caring for and about them, and integrating learning into everyday life.

Pedagogy includes

The art of teaching or persuading others to learn something. Pedagogy relies on around subject matter planning, delivery, and assessment, which results in behavioural change in the learner. It is a dish that involves the following ingredients:

Teaching strategies
Teaching approaches
Teaching models
Teaching behaviours
Teaching styles
Teaching devices
Teaching skills-process & attitude
Teaching aids

All are fundamentally divided into two categories: learner-oriented vs. instructor oriented, and sometimes content or goal-based.

Gundem (1992) established core ideas and constructed sets of guidelines for pedagogy or the practice of teaching. According to Gundam 1992: 54), his key conclusions remain valid:
Instruction must be tailored to the student's developmental stage.
All learning takes place through the senses.
From the particular to the broad, from the simple to the difficult, from the known to the unknown, teaching should not cover too many subjects or themes at the same time.

Teaching should be done slowly and methodically. Nature does not make abrupt changes.

HUETAGOGY

“The study of self-determined learning is known as heutagogy”. It is also an attempt to question some of the notions about teaching and learning that are still prevalent in teacher-centred learning, as well as the necessity for, Bill Ford (1997) puts it succinctly: “knowledge sharing.”

Teaching Aptitude Concept || Teaching's Characteristics || Models of Teaching

noreply@blogger.com (JRF ACHIVERS) — Sat, 08 Jan 2022 10:39:00 +0000

TEACHING APTITUDE

• Teaching aptitude is the process of assessing applicants for the teaching profession based on their knowledge and skills.

• It refers to the fundamental traits needed to become a good teacher. This comprises qualifications, intellect, attitude, and a variety of other characteristics that are expected of a good teacher.

• Teaching entails contact between the teacher and the pupils. They participate to help each other. Both have their own goals, and the goal is to attain them.

Teaching is just preparing pupils to stand on their own two feet in society.

1. The deliberate guidance and administration of the learning process are referred to as teaching.

2. Teaching is the process of giving students with the opportunity to achieve generally lasting change via participation in experiences supplied by teachers.

3. Teaching is the skilful use of information, experience, and scientific principles with the goal of creating an atmosphere conducive to learning.

4. Teaching is a process in which the student, instructor, and other factors are structured in a systematic manner to achieve certain pre-set goals.

5. Teaching is an activity that teaches a kid the necessary information and abilities, as well as the preferred ways of life in society.

Teaching's Characteristics

1. The primary function of education is to give direction and training.

2. Teaching is a two-way street between the instructor and the pupils.

3. Teaching is the art of imparting knowledge to pupils in an efficient manner.

4. Teaching is a science that educates students on the facts and reasons of many topics.

5. Teaching is a never-ending process.

6. A teacher can only teach successfully if he is completely confident in his topic.

7. Teaching motivates pupils to study more.

8. Teaching is both formal and informal.

9. Teaching is the transmission of information to students. In teaching, the instructor communicates material in an engaging manner so that pupils may readily absorb it.

10. Teaching is a tool for assisting students in adjusting to society and its surroundings.

Teacher-Centred education

• In teacher-centred education, pupils focus solely on the teacher.

• During activities, students work alone, and cooperation is discouraged; you speak, and the pupils just listen.

Characteristics

• During instruction, teacher speaking outnumbers student talk.

• Whole-class training is given often; small-group or individual instruction is given less frequently.

• The instructor has a big say in how class time is spent.

• Teachers heavily rely on textbooks to drive curricular and instructional decisions.

• Typically, classroom furniture is organised in rows of desks or chairs facing a chalkboard, with a teacher's desk adjacent.

Learner-Centred education

• Learner-Centred education entails a completely new way of looking at, thinking about, and acting on education. It focuses on three important qualities of the learner.

• For starters, each learner is viewed as being distinct in significant ways. They each have distinct histories, situations, and starting places, as well as distinct strengths, difficulties, interests, and goals. All these distinct characteristics necessitate distinct responses from their learning system.

• Second, each learner is viewed as having limitless potential, which will blossom at its own speed and in its own way. Each student is a sight to behold.

FEATURES

1. Learner-centred teaching involves students in the dirty, difficult task of learning.

2. Explicit skill instruction is part of learner-centred education.

3. Learner-centred teaching enables students to reflect on what and how they are learning.

4. Learner-centred education inspires students by allowing them to have some influence over the learning process.

5. Learner-centred instruction promotes cooperation.

Content-Based Instruction

• The topic or subject matter is the emphasis of a CBI lesson. Students are engaged in learning something throughout the class.

• This might be anything that piques their interest, from a serious science issue to their favourite pop celebrity or even a current news article or film.

• They learn about this subject by utilising the language they are attempting to acquire as a tool for generating knowledge rather than their native language, and as a result, they develop their linguistic skill in the target language.

• This is regarded to be a more natural technique of acquiring linguistic ability and matches more to how we learned our first language.

Content-Focused methods

• Multimedia presentations, exercises, and demonstrations are all part of the lessons.

Pros:

• Allows for the incorporation of a range of formats, such as lectures and multimedia presentations.

Cons:

• Although it is well-suited for teaching mathematics, music, physical education, arts, and crafts, it is challenging to address individual student requirements in bigger classrooms.

Interactive/Participative Methods

• Encourage self-learning and assist students in developing critical thinking abilities and information retention, which leads to self-actualization.

Pros:

• This teaching method encourages pupils to ask questions and develops abilities in finding answers and solutions via investigation; it is great for science and comparable disciplines.

Cons:

• Rather than presenting information and measuring knowledge through memory, this challenge encourages teachers to connect with students and drive them toward inquiry. As a result, it's a little more difficult to quantify.

Best Teaching Style for Today's students

• Traditionally, teaching does not overreach with a smorgasbord of all-encompassing instructional techniques.

• Modern style, emphasising student-centred learning

• To establish a well-focused style based on their particular characteristics, strengths, and goals

• Necessitate several sorts of teachers, ranging from the analyst/organizer to the negotiator/consultant.

Consider the following factors when teachers choose the ideal teaching approach for their students:

1. Empty vessel

2. Active vs. passive

3. Knowledge vs. information

4. Interactive classrooms

5. Constructivist teaching methods

Empty vessel theory

The "Empty vessel" theory, which holds that the mind is basically empty and that the "professional" instructor is required.

Active vs. passive

Group-oriented interactive teaching techniques, facilitator and delegator, promote gifted and competitive pupils over passive youngsters with a wide range of learning capacities.

Knowledge vs. information

A variety of teaching methods, including the facilitator, delegator, demonstrator, and approaches, aids in the acquisition of in-depth knowledge and mastery of a particular subject by the largest possible audience.

Interactive classrooms

In-class laptops and iPads, videoconferencing, and podcasts all play an important part in teaching approaches. With technology in mind, it is critical that teachers assess their student's knowledge as they study.

Constructivist teaching methods

• Accept components of alternative teaching, such as modelling, mentoring, and testing via rubric scaffolding.

• To encourage student involvement and a hybrid approach to teaching.

Price determination under perfect competition || Monopolistic Competition || Oligopoly || Monopoly Market || Pricing strategies

noreply@blogger.com (JRF ACHIVERS) — Sat, 20 Nov 2021 11:21:00 +0000

Price determination under perfect competition

Multiple buyers and sellers are offering homogeneous items in a completely competitive market. No one in the market can affect the market price by his own activities. Because everyone has complete and immediate knowledge of the price at which the transaction is now going place Let's have a look at Pricing in Perfect Competition.

Characteristics of a Market with Perfect Competition

1. A big number of buyers and suppliers

2. Commodities that are homogeneous

3. Unrestricted admission and exit

4. Factors of production mobility

5. The lack of transportation costs

6. Thorough understanding of the market

P rice Determination in Short Period:

A short run is a time in which companies do not adjust their manufacturing size. During this time, neither organisations depart nor new organisations enter the business. During this time, the supply of variable inputs can be increased or decreased. As a result, the supply curve is elastic in character.

The graph depicts price determination in the short run.

In general, businesses must choose the amount of output and price that optimises their profitability. Profit is maximised under ideal competition under the following conditions:

i. MR=MC= Price

ii. MC curve must be rising at the point of equilibrium

Figure-6 (a) depicts the industry's pricing determination at the intersection of the demand and supply curves at price OP1 and quantity OQ1. This pricing is set for all companies in the business. To optimise profit at price OP1, an organisation must modify the output. The MR of the organisation is depicted in Figure-6 (b) by the MR=AR line. When the market price is P1, the profit is maximised at point E, where MR= MC.

Let us introduce the AC curve in Figure-6 to estimate how much profit the firm makes (b). AR (price) minus AC equals profit. Total profits equal EF in Figure-6 (b) since AR = ME and AC equals MF. As a result, the profit area equals P1EFT. These are the organization's above-average profits.

At this level of profit, there is a proclivity for new companies to enter the market. Organizations, on the other hand, cannot enter in the short run. At point E, the organisations in the industry will be balanced, but the industry as a whole will not be.

Consider the instance when the price falls from P1 to P2.

Figure 7 depicts this:

Organizations may be forced to exit the industry as a result of the losses. However, in the short run, it is reasonable for firms to continue producing. This is because if firms continue to generate income, they will be able to pay both fixed and variable costs.

As a result, completely competitive organisations prosper in the short run. However, in some cases, they must experience losses. If the organisation sets a price that is higher than the market price, it may find it difficult to sell its products in a competitive market. On the contrary, it must incur losses if it fixes the price below the market price.

Equilibrium in Long Run:

In the short term, organisations may readily modify variable and fixed components such as labour, machinery, and capital, however, in the long run, the factors are variable.

Organizations can either increase or replace permanent equipment. Furthermore, throughout this time period, firms might simply enter or depart the sector.

The long term AC and MC curves influence pricing and output choices. In the long run, ATC is also a major factor of the equilibrium point. The following two requirements must be met over a lengthy period of time in order to achieve equilibrium.

Price = MC Price = AC

Or, Price = MC = AC

If the price is higher than the AC, companies will generate above-average profits, which will encourage additional organisations to enter the field. More groups will increase the supply of the product, causing the price to decline. This will continue until the price hits AC and all organisations make just regular profits.

Organizations, on the other hand, would suffer losses if the price fell below AC. Organizations begin to depart, resulting in a supply failure. This raises the cost of AC. As a result, the remaining organisations will begin to make typical earnings.

It should be observed that as AC decreases, MC increases, and when AC increases, MC decreases.

Thus, MC=AC at the minimum point of the AC curve, when AC is neither decreasing nor increasing.

As a result, the equilibrium condition may be recast as follows:

Price = MC = Minimum of AC

The long-run equilibrium is depicted in Figure-8:

Organizations can enter and quit the business in the long run. When the price is OP1, equilibrium is at point E' in Figure-8. Profits are made since AR is bigger than AC at this moment. This entices additional companies to join the business. This will cause the industry's supply curve to move from S1 to S2. As a result, the price will reduce from OP1 to OP2.

Organizations begin to lose money at this pricing since AR is cheaper than AC. As a result, the majority of firms will leave the industry. As a result, the product's supply decreases, boosting the price to P0. As a result, complete equilibrium is attained at price OP0 and output ON, where all organisations in the industry make normal profits.

Monopolistic Competition

The market has characteristics of both perfect competition and monopoly in monopolistic competition. Monopolies are more prevalent than pure competition or pure monopolies. In this essay, we will look at the monopolistic competition and its characteristics, price-output determination, and equilibrium circumstances.

Monopolistic Competition Characteristics

1. A large number of vendors

2. Distinct product distinction

3. Ease of entry and exit

4. Non-price competition

The price-output determination under Monopolistic Competition:

Because the product is differentiated amongst businesses under monopolistic competition, each firm does not have a fully elastic demand for its products. In such a market, each business sets its own pricing for its own items. As a result, it confronts a demand curve that slopes downward. Overall, we may argue that the elasticity of demand rises as product differentiation falls.

Figure 1 represents a business confronted with a downward sloping but flat demand curve. It also features a short-run cost curve that is curved like a U.

Conditions for the Equilibrium of an individual firm

The following are the prerequisites for an individual firm's price-output determination and equilibrium:

1. MC = MR

2. The MC curve cuts the MR curve from below.

The MC curve intersects the MR curve at point E, as shown in Fig. 1. At this time,

· Equilibrium price = OP and

· Equilibrium output = OQ

Now, because the unit cost is BQ, we have

· Per unit super-normal profit (price-cost) = AB or PC.

· Total super-normal profit = APCB

The graph below demonstrates a company's short-run earnings losses.

We can observe from Fig. 2 that the per-unit cost is larger than the firm's pricing. Therefore,

· AQ > OP (or BQ)

· Loss per unit = AQ – BQ = AB

· Total losses = ACPB

L ong-run equilibrium

If businesses in a monopolistic rivalry generate above-average profits in the near run, new firms will be encouraged to enter the industry. As more businesses enter, earnings per firm fall as total demand is distributed across a greater number of enterprises. This will continue until all businesses make only reasonable earnings. As a result, enterprises in such a market receive just regular profits in the long run.

As shown in Fig. 3, the average revenue (AR) curve intersects the average cost (ATC) curve at point X. This relates to Q1 quantity and P1 pricing. Because average revenue equals average costs, all super-normal profits are zero at equilibrium (MC = MR). As a result, all enterprises receive either no super-normal profits or just normal profits.

It is vital to highlight that in the long run, a business with surplus capacity is in an equilibrium situation. In other words, it produces less than its maximum capability. We can observe from Fig. 3 that the business may boost output while decreasing average expenses from Q1 to Q2.

It does not, however, since it cuts average income more than average costs. As a result, we may argue that businesses do not behave optimally in monopolistic competition. Each business always has an extra capacity for output.

In the event of a loss in the short run, the businesses that are losing will depart the market. This will continue until the surviving enterprises only generate standard profits.

Oligopoly

Oligopoly, according to Stigler Hads, is "that market scenario in which a business bases its market policy in part on the predicted conduct of a few close rival companies."

"Oligopoly is an industrial structure defined by a few businesses generating all or most of the output of some good that may or may not be distinct," Jackson writes.

Oligopolistic oligopolies can be homogenous or differentiated. When businesses in an oligopolistic industry produce standardised goods such as petroleum, aluminium, and rubber, the industry is said to be operating under oligopolistic circumstances.

If, on the other hand, the businesses provide items that are near-equivalents for one another, differentiate oligopoly is said to dominate. When items are the same, mutual dependency is stronger; when commodities are diverse, mutual interdependence is lower.

P rice and Output Determination Under Oligopoly:

There is no one hypothesis that adequately explains price and output decisions under a duopoly.

The following are the reasons:

(i) The number of dominant enterprises in the market varies. Sometimes only two or three companies control the whole market (Tight oligopoly). Alternatively, there may be 7 to 10 enterprises that control 80 per cent of the market (loose oligopoly).

(ii) Under oligopoly, items produced may or may not be standardised.

(iii) Oligopolistic enterprises occasionally cooperate with one another in the setting of prices and the production of goods. They like to operate alone at other times.

(iv) In oligopoly, there are times when entry barriers are quite high and other times when they are fairly low.

(v) An oligopolistic business cannot forecast the reaction of other firms if it raises or lowers the pricing and output of its items. Given the great variety of market settings, a number of models have been created to describe the behaviour of oligopolistic enterprises.

Causes of Oligopoly:

The following are the primary causes of oligopoly:

(i) Economies of scale

(ii) Barriers to entry

(iii) Merger

(iv) Mutual interdependence

C haracteristics of Oligopoly:

(i) Small number of firms

(ii) Interdependence

(iii) Realization of profit

(iv) Strategic game

Monopoly Market:

A monopoly market is one in which there are a high number of customers and a single producer or seller of a certain item. There are no near substitutable commodities available in this market. The new firm's ability to enter the sector is completely restricted.

This market is predicated on the following assumptions:

1. A single vendor and a big number of customers

2. There are no commodities that are almost interchangeable.

3. Restriction on the firm's admission

4. The firm sets the price.

P rice and output determination under monopoly market:

A monopolistic corporation is often governed by profit and sales maximisation goals. Because a monopolist is a single vendor, it has complete control over pricing and quantity. It must contend with a downward-sloping demand curve; if it raises the price of its product, sales fall, and vice versa. It will strive to achieve the level of output that yields the most profit, i.e. the equilibrium level of output.

To achieve equilibrium, the company must meet two conditions:

1. MC = MR

2. MC must cut MR from below

Ø We can depict the process of pricing and production determination in a monopolistic market using the provided graphic.

Ø On the graph above, the output is measured along the x-axis, while P, C, and R are measured along the y-axis. Both requirements for the equilibrium are met at point E, hence E is the equilibrium point. We can get the equilibrium output, OQ, by drawing a straight line from point E to the x-axis. If we draw a straight line from point E to the AR curve, we will have the AR or equilibrium price, which is either CQ or OP. The straight line drawn from point E to the AR curve intersects the AC curve at point B. As a result, the average cost of the company to generate the product is either BQ or OA.

In this case, the monopolist's total revenue is OPCQ and his entire expense is OABQ. As a result, it earns a supernormal profit equal to the area ABCP.

In the short run, a monopolist may achieve supernormal profit or loss. It is determined by the state of the AR and AC curves. However, in the long term, a monopolist always makes a supernormal profit.

Pricing strategies

1. P rice Skimming Pricing:

· Price skimming is the practice of selling a product at a high price, typically around the launch of a new product when demand is very inelastic. This strategy is utilised to produce significant earnings within the first few months of a product's debut. A corporation can repay its investment in the product by doing so. However, by indulging in price skimming, a corporation risks foregoing significantly larger unit sales that might be obtained at a lower price point. A corporation that engages in price skimming must eventually lower its pricing when competitors join the market and undercut its rates. As a result, price skimming is often a short-term tactic meant to maximise earnings.

· Price skimming has a tiny market size since only early adopters are ready to pay the high price. After the product's early adopters have purchased it, sales volume often decreases since the remaining potential buyers are unwilling to purchase at the seller's price. Price skimming can only be extended for a longer period of time if the vendor has also established a strong brand image for which clients are ready to pay a higher price.

Example of Price Skimming

ABC International has created a global positioning system that can lock on to GPS satellite signals even when it is several feet underwater. Because this is a significant advance over previous technology, ABC feels justified in selling the product at $1,000, despite the fact that it only costs $150 to build. ABC maintains this price for the first six months while recouping the $1 million development cost of the product, then reduces it to $300 to dissuade competitors from joining the market.

Advantages of Price Skimming

The following are some of the benefits of employing the price skimming method:

· A large profit margin: The entire aim of price skimming is to maximise profit margins.

· Recovery of costs: If a corporation competes in a market where the product life cycle is short or the market niche is narrow, price skimming may be the only realistic option for guaranteeing that the cost of developing items is recovered.

· Profits for dealers: If a product's price is high, the proportion received by distributors will be high as well, making them pleased to carry the product.

· High-quality picture: This technique may be used by a corporation to generate a high-quality image for its products, but it must produce a high-quality product to back up the image created by the price.

Disadvantages of Price Skimming

The following are some of the drawbacks of employing the price skimming method:

· Competition: There will be a steady stream of rivals with lower-priced items challenging the seller's high price point.

· Gross sales volume: Price skimming limits a company's revenues, which means it can't reduce expenses by increasing sales volume.

· Consumer acceptability: If the price remains extremely high for an extended period of time, it may delay or completely preclude the product's acceptance by the general market.

· Disgruntled customers: Early adopters of the product may be irritated when the corporation eventually reduces the price of the product, resulting in negative press and a low degree of customer loyalty.

· Inefficiency in cost: Because of the extremely high-profit margins generated by this method, a firm may avoid making the necessary cost cuts to remain competitive when it ultimately reduces its pricing.

P rice Penetration Pricing:

Penetration pricing is the practice of initially pricing one's goods or services at a low level in order to gain market share. Customers who are price-sensitive are likely to be attracted by the reduced price. The price may be set so low that the vendor will not be able to make a profit. The seller, on the other hand, is not unreasonable.

The purpose of penetration pricing can take any of the following paths:

• Drive competitors out of the market, allowing the company to eventually raise prices without fear of price competition from the few remaining competitors; or

• Gain such a large market share that the seller can drive down manufacturing costs due to extremely high production and/or purchasing volumes; or

• Utilize the seller's extra production capacity; the seller's marginal cost of production employing this excess capacity is so cheap that it can afford to maintain the penetration pricing for an extended period of time.

The Penetration Pricing Calculation

ABC International wishes to join the blue one-armed widget market. A blue one-armed widget costs $10.00 right now on the market. ABC has a considerable quantity of surplus manufacturing capacity, hence the product has an additional cost of only $6.00. As a result, it chooses to join the market at a penetration price of $6.25, which it believes it can sustain for the foreseeable future. Competitors flee the market quickly, and ABC becomes the main vendor of blue one-armed widgets.

Advantages of Penetration Pricing

The following are some of the benefits of employing the penetration pricing method:

• An entry obstacle: If a corporation maintains its penetration pricing strategy for an extended period of time, potential new market entrants will be discouraged by the low prices.

• It lowers competitiveness: Financially weaker rivals will be forced out of the market or into smaller niches.

• Market hegemony: With this technique, it is feasible to attain a dominating market position, albeit the penetration price may need to persist for a long period in order to drive away a significant number of competitors.

Disadvantages of Penetration Pricing

The following are some of the drawbacks of employing the penetration pricing method:

· Branding protection: Customers may be unwilling to convert to a low-cost option if competitors have such strong product or service branding.

· Loss of customers: If a firm just uses penetration pricing without also increasing its product quality or customer service, it may discover that when it raises its prices, consumers leave.

· Perceived worth: When a corporation significantly lowers its pricing, it generates a sense among customers that the product or service is no longer as valuable, which may impede with any subsequent price increases.

• A price war: Competitors may reply with even lower pricing, denying the firm any market share.

1. P eak load pricing:

Peak pricing is a type of congestion pricing in which clients pay an extra price at times of high demand. Peak pricing is most commonly used by utilities, which charge higher rates during peak demand periods of the year. The goal of peak pricing is to keep demand within a tolerable range of what can be provided.

H ow Peak Pricing Works

· If peak demand is not appropriately controlled, it will out outnumber supply. In the case of utilities, this might lead to brownouts. It has the potential to generate traffic congestion on the roads. Brownouts and traffic jams are costly for all users.

· The alternative is for municipalities to invest in more infrastructure to satisfy peak demand, which is a manner of directly charging customers for these negative repercussions. However, this strategy is typically costly and inefficient since it wastes a significant part of capacity during non-peak demand.

· Companies will employ a dynamic pricing strategy to develop flexible charges for their products or services that change in response to current market demand.

· Businesses can change their prices based on algorithms that take into account competitor pricing, supply and demand, and other market variables. Dynamic pricing is commonly employed in a wide range of businesses, including hospitality, travel, entertainment, retail, electricity, and public transit. Each industry approaches pricing differently depending on its demands and the demand for the product.

Law of Returns to Scale || The Concept of Short Run || The Concept of the Long Run

noreply@blogger.com (JRF ACHIVERS) — Wed, 17 Nov 2021 11:04:00 +0000

Law of Returns to Scale

The law of returns is sometimes misunderstood as the law of returns to scale. The law of returns applies in a limited time frame. It describes the firm's production behaviour by changing one element while holding the others constant. The law of returns to scale, on the other hand, acts over a lengthy period. It explains the firm's production behaviour with all variable elements.

It has been found that when the amounts of inputs are changed proportionally, the behaviour of the output differs. The output may rise in a large proportion, a similar proportion, or a lesser proportion to its inputs. The behaviour of output as the scale of operation increases is referred to as growing returns to scale, constant returns to scale, and declining returns to scale.

These three rules of returns to scale are now briefly presented under distinct headings:

(1) Increasing Returns to Scale:

When a firm's output grows more than proportionally to an equal percentage increase in all inputs, the output is said to display growing returns to scale.

For example, if the number of inputs is doubled and the output more than doubles, this is referred to as growing returns to scale. Increased production size leads to the reduced average cost per unit produced since the company benefits from economies of scale.

(2) Constant Returns to Scale:

When all inputs are raised by a particular percentage, the output rises by the same proportion; this is referred to as the production function exhibiting constant returns to scale.
For example, if a company doubles its inputs, it also doubles its output. In this situation, the production is tripled. The constant production scale has no influence on the average cost per unit produced.

(3) Diminishing Returns to Scale:

The phrase ‘diminishing’ returns to scale refers to a scale in which output rises in a lesser proportion than total input increases.

For example, if a company raises its inputs by 100% but its output reduces by less than 100%, the company is said to have declining returns to scale. When returns to scale decrease, the company suffers diseconomies of scale. The firm's manufacturing size results in a higher average cost per unit produced.

Graph/Diagram:

With the assistance of the graph below, the three rules of returns to scale are now explained:

Figure 11.6 indicates that when a business employs one unit of labour and one unit of capital, point a, it generates one unit of quantity, as illustrated on the q = 1 isoquant. When the business doubles its outputs by employing two units of labour and two units of capital, it produces more than twice as much from q = 1 to q = 3.

As a result, in this range, the production function exhibits rising returns to scale. Another output from number 3 to number 6. The production function has diminishing returns to scale from the latest doubling point c to point d. The doubling of output from 4 units of input results in a two-unit increase in output from 6 to 8 units.

The Concept of Short Run

· To comprehend short-run expenses, it is critical to first grasp the idea of the short run.

· In economics, we distinguish between the short and long term by using fixed or variable inputs.

· Fixed inputs (plant, machinery, etc.) are production factors that cannot be modified or altered in a short amount of time due to a 'too short' period. This results in a brief run. The inputs, in this case, are of two types: fixed and changeable.

· Over time, all of the inputs become changeable (e.g. raw materials). This means that the volume of output may be used to adjust all inputs. As a result, the idea of fixed inputs only applies in the short run.

S hort-Run Cost Function

A cost function is a functional connection that exists between cost and output. It indicates that the cost of production changes with the degree of output, as long as other factors stay constant (ceteris paribus). This may be expressed numerically as:
C = f(X)
where C is the manufacturing cost and X is the degree of output

Total Fixed Cost

· The cost of fixed inputs is referred to as fixed cost. It is unaffected by the level of production (thus, fixed). Buildings, machinery, and other fixed inputs are examples of fixed inputs. As a result, the cost of such inputs as rent or machinery represents fixed expenses. These expenses, also known as overhead costs, supplemental costs, or indirect costs, stay constant regardless of production level.

· As a result, if we plot the Total Fixed Cost (TFC) curve on the horizontal axis against the amount of production, we get a straight line parallel to the horizontal axis. This suggests that these expenses are constant and must be incurred even if production is zero.

Total Variable Cost

· Total Variable Cost refers to the costs expended on variable elements of production (TVC). These expenses fluctuate according to the degree of output or production. As a result, when the production level is zero, the TVC is likewise zero.

· As a result, the TVC curve starts at the origin.

· The TVC has an unusual form. It is reported to be in the shape of an inverted S. This is because, in the early phases of manufacturing, there is room for increased variable factor usage while consuming less fixed factor (e.g. Workers employing machinery).

· When a result, as the variable input utilised rises, the variable input's productive efficiency assures that the TVC increases, albeit at a decreasing pace.

· As a result, the initial half of the TVC curve is concave.

· As production grows, more and more variable factors are used for a given quantity of fixed input. Each variable factor's productive efficiency decreases, increasing the cost of manufacturing. As a result, the TVC rises, but at a faster rate. This is the point at which the TVC curve becomes convex. As a result, the TVC curve takes on an inverted-S form.

Total Cost

The sum of fixed and variable expenses incurred in the short run is referred to as total cost (TC). As a result, the short-run cost is stated as

TC = TFC + TVC

In the long term, because TFC = 0, TC Equals TVC. Thus, by adding the TFC and TVC curves, we may obtain the form of the TC curve.

Fig.1

(Source: economics discussion)

The TC curve has the following characteristics:

· The TC curve is curved like an inverted S. This is due to the TVC curve. Because the TFC curve is horizontal, the difference between the TC and TVC curves at any level of output is the same and equals TFC. This is detailed in detail below:

TFC = TC + TVC

· The TFC curve is parallel to the horizontal axis, whereas the TVC curve is formed like an inverted S.

· As a result, the TC curve has the same form as the TVC curve but starts at the point of TFC rather than the origin.

· The law of changing proportions describes the form of TVC and, consequently, TC.

The Concept of the Long Run

The long-run refers to the time in which a corporation can adjust all of its production parameters. As a result, the long run is entirely made up of variable inputs, and the idea of constant inputs does not exist. In the long run, the company can expand the plant's size. As a result, there is no distinction between long-run variable cost and long-run total cost, because fixed costs do not exist in the long run.

Long-Run Total Costs

· The minimum cost of manufacturing is referred to as the long-run total cost. It is the cheapest way to produce a given amount of production. As a result, it can be less than or equal to the short-run average costs at various output levels, but never larger.

· The minimum points of the STC curves at different levels of output are linked to form the LTC curve visually. The LTC curve is given by the location of all these points.

Long Run Average Cost Curve

· Long-run average cost (LAC) is the long-run average of the LTC curve or the cost per unit of production. It may be computed by dividing LTC by the amount of production.

· LAC may be calculated graphically using the Short-run Average Cost (SAC) curves.

· While the SAC curves apply to a specific plant since the plant is fixed in the short term, the LAC curve illustrates the potential for plant development while reducing costs.

Derivation of the LAC Curve

· Each SAC curve in the illustration corresponds to certain plant size. This size is set, while the variable input in the short term can fluctuate. In the long term, the business will choose the plant size that will reduce expenses for a given level of output.

· As you can see, the business should function at the plat size represented by SAC2 until it reaches the OM1 level of production. The cost would be higher if the business operated at the cost indicated by SAC2 when generating an output level OM2.

· In the long run, the company will produce on SAC2 till OM1. However, until an output level indicated by OM3 is reached, the business can produce at SAC2, after which it is profitable to produce at SAC3 if the firm intends to reduce expenses.

Thus, in the long term, the best option is to produce at the smallest plant size possible. As illustrated in the image, this results in a LAC curve that connects the minimum points of all feasible SAC curves. As a result, the LAC curve is also known as an envelope curve or a planning curve. The curve lowers first, reaches a minimum, and then rises, forming a U-shape.

The form of the LAC curve may be explained using returns to scale. Returns to scale represent the change in output as a result of changing the inputs. During Increasing Returns to Scale (IRS), the output doubles while the inputs are less than doubled. As a result, LTC rises less than production rises, and LAC falls.

• In Constant Returns to Scale (CRS), double the inputs double the output, and the LTC rises proportionally to the growth in output. As a result, LAC remains constant.

• In Decreasing Returns to Scale (DRS), the output doubles by utilising more than twice the inputs, causing the LTC to grow more than proportionally to the increase in output. As a result, LAC increases. This is what gives LAC its U-shape.

Long Run Marginal Cost

· The additional cost of creating an extra unit of output, in the long run, i.e. when all inputs are variable, is defined as the long-run marginal cost. The LMC curve is formed by the tangent points of LAC and SAC.

· There is a significant relationship between LMC and SAC here. When LMC is below LAC, LAC falls, and when LMC is above LAC, LAC rises. LAC is constant and minimal at the point when LMC = LAC.

Production Function || Law of Variable Proportions

noreply@blogger.com (JRF ACHIVERS) — Mon, 15 Nov 2021 20:17:00 +0000

Production Function:

Production is the process through which certain commodities and services, known as inputs, are turned into other goods and services, known as outputs. The link between the input of factor services and the output of the final product is referred to as the production function. The production function is founded on the assumption that the amount of output in a manufacturing process is proportional to the number of inputs utilised in the process.

Output is dependent on input or a group of inputs in such a manner that each combination of inputs results in a unique quantity of output. The production function refers to this one-of-a-kind link between output and input.

1. Linear Homogeneous Production Function:

The production function is considered to be homogenous when all of the inputs are raised in the same proportion. The degree of the production function is one. This is referred to as a linear homogeneous production function. To estimate the production function, the function must be expressed in explicit functional form. This type of production function may be described mathematically as

nQ = f (nL, nK)

This production function also implies that the returns to scaling are constant. That is, if L and K are multiplied by n, the output Q is multiplied by n as well. A well-behaved production function is this type of production function. Which makes the entrepreneur's job much easier and more convenient? He merely needs to determine one of the best factor proportions.

2. Cobb-Douglas Production Function:

Charles W. Cobb and Paul H. Douglas investigated the link between inputs and outputs and developed an empirical production function known as the Cobb-Douglas production function.

Originally, the C-D production function applied not to a single firm's production process, but to the entire industrial production.

The Cobb-Douglas production function is denoted by

Q = ALαKβ

where Q is the output and L and A' are the labour and capital inputs, respectively. A, and are positive parameters with > 0, > 0. The equation states that output is closely related to L and K and that the part of the output that cannot be described by L and K is explained by A, which is the residual, also known as technical change.

The marginal products of labour and capital are functions of the parameters A, and, as well as the labour and capital input ratios. In other words,

MPL =∂Q/∂L = αAL α-1K β

MPK = ∂Q/∂K = βAL αK β-1

3. Constant Elasticity of Substitution Production Function:

The Homohighplagic production function is another name for the CES production function. The Constant Elasticity of Substitution (CES) function was created by Arrow, Chenery, Minhas, and Solow. This function has three variables, Q, K, and L, as well as three arguments, A, a, and 0. It can be represented in the following way:

Q = A [α C-ϴ+ (1- α) L -ϴ]-1/ϴ

When Q denotes total production, K denotes capital, and L is labour. A is the efficiency metric that indicates the status of technology and production organisational features. It demonstrates that as technological and/or organisational changes occur, the efficiency parameter shifts the production function, an (alpha) is the distribution parameter or capital intensity factor coefficient concerned with the relative factor shares in total output, and 0 (theta) is the substitution parameter determining the elasticity of substitution. And

A > 0; 0 < α <1; ϴ > -1.

The elasticity substitution in the CES production function is constant and does not have to be equal to unity.

Mukherji created the CES function by combining more than two inputs.

4. Variable Elasticity Substitution Production Function:

Bruno, Knox Lovell, and Revankar have recently attempted to get a new manufacturing function. The resultant production function is an extension of CES with the desirable variable elasticity substitution features.

To describe value added per unit of labour, Lu and Fletcher constructed a logarithmic connection using the wage rate (W) and the capital-labour ratio (K/L).

V/L = a + b log W + с log K/L where

V = Value added,

W = Wage rate

K = Capital,

L = Labour

a, b and с are the parameters to be estimated.

The elasticity of substitution (σ) is σ = b/1-c (1+WL/rk)

where WL and rk are the shares of labour and capital respectively.

L aw of Variable Proportions

Up to Alfred Marshall's time, three rules of returns were referenced in the history of economic philosophy. These were the laws of growing returns, decreasing returns, and constant returns, respectively. According to Dr Marshall, the law of declining returns applies to agriculture and the law of growing returns to industry. Much time was spent debating this subject. It was eventually discovered, however, that there are no three rules of production.

It is just one production rule with three phases: growing, decreasing, and negative production. The Law of Variable Proportions or the Law of Non-Proportional Returns was called after this basic law of production.

Assumptions:

Under the following assumptions, the law of varying proportions, often known as the law of decreasing returns, remains true:

(i) Short-run

(ii) Constant technology

(iii) Homogeneous factors

Three Stages of the Law:

According to the law of varying proportions, there are three steps or phases of production:

(i) Increasing returns.

(ii) Diminishing returns.

(iii) Negative returns.

Diagram/Graph:

These stages are illustrated in the graph below:

(i) Stage of Increasing Returns: The first step of the law of changing proportions is commonly referred to as the growing returns stage. As a variable resource (labour) is added to fixed inputs of other resources at this stage, the total product rises up to a point at a rising rate, as seen in figure 11.1.

The total product grows at an increasing rate from the origin to point K on the slope of the total product curve. The total product continues to rise from point K onwards throughout stage II, although its slope is decreasing. This indicates that starting at point K, the total product grows at a decreasing pace.

Causes of Initial Increasing Returns:

When the amount of a constant element is abundant relative to the quantity of a variable factor, the period of rising returns begins. It is employed more intensely and efficiently as more units of the variable component are added to the constant quantity of the fixed factor. As a result, manufacturing increases at a quick pace. Another reason for growing returns is that the original fixed component is indivisible. As more units of the variable factor are used to work on it, production grows dramatically as the variable component is used more fully and effectively.

(ii) Stage of Diminishing Returns: This is the most crucial step of the manufacturing process. In stage 2, overall production increases at a decreasing pace until it reaches its maximum point (H), at which time the second stage concludes. Both the marginal product (MP) and the average product (AP) of the variable factor are decreasing but still positive at this point.

Causes of Diminishing Returns:

When the fixed component becomes insufficient in relation to the quantity of the variable factor, the rule enters the second phase. The marginal and average product decrease when more units of a variable component are used. Another cause of decreasing returns in the production function is that the fixed indivisible factor gets overworked. It is being used in a non-optimal situation! Mrs J. Robinson goes a step further, claiming that decreasing returns arise because the factors of production are unsatisfactory replacements for one another.

(iii) Stage of Negative Returns: Total production decreases in the third stage. The TP curve is slanted downward (From point H onward). The MP curve reaches zero at L2 and then turns negative. As the utilisation of variable factors increases, it moves below the X-axis (labour).

Causes of Negative Returns:

The third phase of the rule begins when the number of a variable, factor becomes excessive in comparison to the fixed factors. A producer cannot function at this level since the utilisation of more labour reduces total output.

A sensible producer will always want to create in stage 2 when the variable factor's MP and AP are decreasing. The price of the element that the producer must pay determines when he will decide to produce. The variable factor (say, labour) will be used by the producer until the marginal product of labour equals the stated wage rate in the labour market.

Business Economics || Demand analysis || Methods of Measuring Price Elasticity of Demand || Relationship between AR and MR

noreply@blogger.com (JRF ACHIVERS) — Tue, 09 Nov 2021 18:59:00 +0000

Business Economics

Business Economics, often known as Managerial Economics, is the combination of economic theory with business operations. Economics includes a variety of conceptual tools such as demand, supply, price, competition, and so on. They put these techniques to use in corporate management. Business economics is sometimes known as applied economics in this context.

As a result, define business economics as the study of the application of economic theory to company management. Thus, business economics sits on the nexus of economics and business management, acting as a link between the two disciplines.

Scope of Business Economics:

1. Forecasting and Demand Analysis.

2. Cost Analysis and Production Analysis.

3. Pricing Decisions, policies, and practices.

4. Profit Management, and.

5. Capital Management.

Economic objectives of firms

The main objectives of firms are:

1. Profit maximization

In economics, we usually believe that corporations are concerned with maximising profit.

Increased profit means:

• Increased dividends for shareholders.

• Increased profits can be utilised to fund research and development.

• Increased earnings makes the company less vulnerable to takeover.

• Increased profit allows for increased pay for employees.

2. Sales maximization

Firms frequently want to grow their market share – even if it means sacrificing profit.

This might happen for several reasons, including:

• Increased market share boosts monopolistic power, allowing the business to raise prices and profit in the long run.

• Managers want to work for larger corporations since it provides them with more status and higher pay.

• Increasing market share may drive competitors out of business. For example, the rise of supermarkets has resulted in the death of numerous small businesses. Some businesses may engage in predatory pricing, which entails generating a loss to drive a competitor out of business.

3. Growth maximization

This is analogous to sales maximisation and may entail mergers and acquisitions. With this goal in mind, the company may be ready to accept lower levels of profit to grow in size and achieve a larger market share. More market share boosts a company's monopolistic power and capacity to determine prices.

4. Long run profit maximization

In some circumstances, corporations may forego short-term revenues to improve long-term profitability. Firms, for example, may incur a loss in the near run yet enable better earnings in the long run by investing extensively in additional capacity.

5. Social/environmental concerns

A company may pay more costs to select items that are not harmful to the environment or that have not been tested on animals. Firms may also be interested in local community / philanthropic causes.

• Some businesses may include social/environmental issues into their branding. This can eventually boost revenue as the brand becomes more appealing to customers.

• Some businesses may adopt social/environmental issues only for the sake of doing so – even if it has minimal impact on sales/brand image.

6. Co-operatives

Co-operatives may have very different goals than a regular PLC. A co-operative is managed to optimise the well-being of all stakeholders, particularly employees. Any profits made by the co-operative will be distributed to all members.

Demand analysis

In economics, demand is defined as "want to support by sufficient purchasing power." It is defined as the quantity of a commodity that a consumer is willing to acquire at a particular price during a specified time. The demand for an item in economics refers to both the desire to obtain the product and the ability to pay for it. Because a corporation cannot survive if demand estimates or forecasts are incorrect, demand analysis is one of the most essential parts of managerial economics and is thoroughly researched.

Types of Demand

Demands can be categorized as follows:

1. Individual demand - This is demand from a single consumer. These demands include those for clothing, shoes, and other such items.

2. Household demand - This type of demand is generated by a household and includes items such as washing machines, refrigerators, and houses.

3. Market demand - Market demand is defined as the aggregate demand of all individuals and families in the market.

Some other types of demands are:

1. Direct demand - This type of demand directly meets human desires. Food and clothing are two examples of this desire.

2. Indirect demand - This type of demand is employed to manufacture consumer products. This category includes goods for manufacturing. Derived demand is another name for it.

3. Joint demand — When more than one commodity is required to meet a single requirement, this type of demand is referred to as joint demand. Tea leaves, sugar, and milk, for example, are all necessary to satisfy the single demand for tea.

4. Composite demand — This type of need may satisfy many desires at the same time. This type of demand includes electricity, which serves the demands of several houses.

Factors in Creating Demand and Demand Analysis

A product's or service's demand is influenced by a variety of variables.

These elements are as follows:

1. The commodity's price

2. The end user's income

3. The cost of alternative and complementary items

4. Predictions concerning the product's future pricing

5. Advertisements

6. Fiscal policies

7. Other elements, such as traditions, customs, seasons, social issues, and others, all have an impact on product demand.

Demand analysis formula – Demand Function

The demand function is a mathematical connection between the amount desired and the determinants of the commodity.

It can be represented as

Q = f (Demand determinant)

Where Q = quantity demanded of a commodity

Demand functions are generally of two kinds.

They are:

1. Individual demand function - the mathematical link between an individual consumer's demand and the factors of individual demand.

2. Market or aggregate demand function - this is the mathematical link between market demand for a commodity and market demand determinants.

Law of Demand

Alfred Marshall proposed the Law of Demand, which defines a consumer's behaviour in requesting a commodity in response to price fluctuations. Other things being equal, the law asserts that the higher the price of the product, the lower the demand, and the lower the price, the larger the amount desired.

In other words, while all other variables stay constant, demand for a product changes inversely with price.

The conventional law of demand is given by the following formulae: Qx = f (Px)

Where Qx= Quantity demanded of commodity x Px= Price of the commodity x

Because of changes in substitution impact and consumer income, the Law of Demand is typically operative.

As we can see, the demand curve slopes downwards from left to right.

This is due to the following effects:

1. The Law of Diminishing Marginal Utility — According to this law, when a customer purchases more and more units of a commodity, its utility to him diminishes. Thus, to achieve maximum happiness, the buyer purchases a commodity whose marginal utility equals the product's price. As a result, he buys more units when the price is low and fewer units when the price is high.

2. Income impact — It is a well-known fact that a price decline boosts customers' purchasing power and vice versa. This is known as the income impact.

3. The substitution effect - occurs when the price of a thing lowers but the price of its alternatives remains constant, causing the customer to purchase more of the product.

The rule of demand, like everything else, includes exceptions.

These are listed below:

1. Expectations about future price

2. Veblen effect or commodity with snob appeal

3. Giffen products

4. Consumer’s psychological bias

Methods of Measuring Price Elasticity of Demand

There are four fundamental methods for calculating the price elasticity of demand.

These are the techniques.

1. Percentage Method

One of the most frequent techniques to assess price elasticity of demand is the percentage method, which measures price elasticity in terms of the rate of percentage change in the quantity requested to the percentage change in price.

Price elasticity of demand may be represented numerically using this way as

As an illustration: When a commodity's price was Rs 10 per unit, the market demand was 50 units per day. When the commodity's price dropped to Rs 8, demand increased to 60 units.

The price elasticity of demand may be computed as follows:

Price elasticity of demand, unlike price elasticity of supply, is always negative since quantity demanded and price of the commodity has an inverse connection. This indicates that the higher the price, the lower the demand, and the lower the price, the larger the demand for the product.

1. Total Outlay Method

Professor Alfred Marshall created the whole outlay approach, often known as the total spending method, for determining the price elasticity of demand. Price elasticity of demand may be estimated using this approach by comparing total expenditure on a commodity before and after the price change.

When we compare the costs, we may receive one of three results.

They are

Ø Elasticity of demand will be greater than unity (Ep > 1)

When total spending rises with falling prices and falls with rising prices, the value of PED is larger than one. In this case, price increases and total outlay or expenditure go in opposing directions.

As an illustration: When a commodity's price was Rs 10 per unit, the market demand was 50 units per day. When the commodity's price dropped to Rs 8, demand increased to 60 units.

The price elasticity of demand may be computed as follows:

Ø The elasticity of demand will be equal to unity (Ep = 1)

When total commodity spending remains constant in response to a change in commodity price, the value of PED equals one.

Ø Elasticity of demand will be less than unity (Ep < 1)

When total spending reduces when prices fall and increases as prices rise, the value of PED is less than one. In this case, the commodity price and total outlay both move in the same direction.

1. Point Method

Prof. Alfred Marshall also developed the point method for gauging the price elasticity of demand. This approach is used to calculate the price elasticity of demand at any point along the curve.

The elasticity of demand will be different at each point on a demand curve, according to this technique. As a result, this strategy is used when there is a slight change in the commodity's price and quantity requested.

This approach expresses price elasticity of demand (PED) numerically as

The technique of computing PED, on the other hand, is determined by the nature of the demand curve.

These approaches are described further below.

Price elasticity on a linear demand curve

If the demand curve is linear, PED is easily determined by using the above calculation, i.e.

MN is a linear demand curve in the illustration, and P is the curve's midpoint.

As a result, at point P,

Price elasticity on a non-linear demand curve

If the demand curve is non-linear or convex, a tangent line is created through the point where the PED is to be measured. The PED is then computed once again as DD is a non-linear demand curve in the diagram. If P is the location at which we wish to test price elasticity, we must first draw a tangent through it. Tangent MN has therefore been drawn through point P. PED can now be quantified.

4. Arc Method

An arc is formed by any two points on a demand curve, and the coefficient of price elasticity of demand of an arc is known as arc elasticity of demand. This approach is used to determine the price elasticity of demand across a given price and quantity range. Thus, when the price or quantity requested of a product is highly altered, this approach is used to calculate PED. Elasticity is assessed by taking mean values of price and quantity wanted in the arc method. The price and quantity requested average is computed as

Relationship between AR and MR

The link between AR and MR is determined by whether the price remains constant or declines as output increases. However, if nothing is said about the type of price increases with output increases, then the following general relationship exists between AR and MR:

1. AR rises as long as MR exceeds AR (or when MR exceeds AR, AR rises).

2. When MR equals AR, AR is maximum and constant (or when MR = AR, AR is maximum).

3. AR declines when MR is less than AR (or when MR AR).

It should be emphasised that the specific connection between AR and MR is determined by the price-output relationship, that is, whether the price remains constant or varies inversely with production.

CONSUMER BEHAVIOR

Concept of Utility:

Jevon (1835-1882) is the first economist to bring the notion of utility into economics. "Utility is the foundation upon which an individual's demand for a commodity is based," he says.

The utility of a product or service is described as "the ability of a commodity or service to fulfil human needs."

Cardinal Utility Analysis Assumptions:

The following are the major assumptions or premises on which the cardinal utility analysis is based.

(i) Rationality

(ii) The utility is cardinally measurable

(iii) Money's marginal utility remains constant

(iv) Decreasing marginal utility

(v) Independent utilities

(vi) Method of introspection

Criticism:

The notion of cardinal utility was harshly attacked by Pareto, an Italian economist. According to him, usefulness is neither quantitative nor addible. It is, nonetheless, comparable. He proposed that the idea of utility be replaced with a preference scale. Following in the footsteps of Pareto, Hicks and Allen developed the technique of indifference curves. As a result, the cardinal utility method is replaced by the ordinal utility function.

INDIFFERENCE CURVE ANALYSIS

What is an Indifference Curve?

It is a curve that displays all of the product combinations that provide the same level of happiness to the consumer. Because all of the combinations provide the same level of happiness, the buyer prefers them all equally. As a result, the curve is known as the Indifference Curve.

Indifference Map

A collection of Indifference Curves constitutes an Indifference Map. It provides a comprehensive picture of a consumer's preferences.

The figure below depicts an indifference map made up of three curves:

Ø We know that a customer is agnostic about the combinations that are on the same indifference curve. It is worth noting, however, that he favours combinations on the higher indifference curves to those on the lower ones.

Ø This is since a greater indifference curve indicates a higher degree of contentment. As a result, all combinations on IC1 provide the same level of satisfaction, whereas all combinations on IC2 provide higher levels of satisfaction than those on IC1.

Marginal Rate of Substitution

The Marginal Rate of Substitution is the rate at which a customer is prepared to forego some units of good X in exchange for one additional unit of good Y at the same utility. The indifference curve is analysed using the Marginal Rate of Substitution.

Properties of an Indifference Curve or IC

Ø IC slopes downhill to the right;

Ø An IC is always convex to the origin;

Ø Indifference curves never intersect; and

Ø Two ICs will never intersect.

Ø They also do not have to be parallel to each other.

Take a look at the diagram below:

The figure depicts two ICs crossing at location A. Because A and B are both on IC1, they provide the same amount of enjoyment. Similarly, A and C provide the same amount of enjoyment since they are on IC2. As a result, we might conclude that B and C provide the same amount of enjoyment, which is logically nonsensical. As a result, no two ICs can contact or intersect with one other.

Ø When opposed to a lower IC, a greater IC suggests a higher degree of contentment.

Ø A greater IC indicates that a buyer prefers more things than not.

Ø An IC does not come into contact with the axis.

Budget Line

Because a higher indifference curve signifies a better degree of contentment, a buyer will strive for the highest IC feasible to optimise his satisfaction.

To achieve so, he must purchase additional products and operate under the following two constraints:

1. He must pay the purchase price and

2. He has a restricted salary, which limits his capacity to purchase these items.

Ø As seen above, a budget line depicts all potential combinations of two commodities that a customer may purchase with the finances he has available at the specified pricing of the goods. All of the combinations that are within his financial means are on the budget line.

Ø A point outside the line (point H) denotes a combination that is out of the consumer's financial grasp. A point within the line, on the other hand (point K), shows the consumer's underspending.

Mathematical Reasoning and Aptitude || Number series || Letter series || Codes || Relationships

noreply@blogger.com (JRF ACHIVERS) — Sat, 06 Nov 2021 08:08:00 +0000

Mathematical Reasoning and Aptitude

UGC NET REASONING SYLLABUS TOPIC TO BE COVERED

Ø Number series

Ø Letter series

Ø Codes

Ø Relationships

Number series

Most tests include questions about number sequences. This topic is covered in almost 1-2 questions in the test.

• These questions are based on number sequences that adhere to a logical rule/pattern based on basic arithmetic concepts.

• A specific series is provided from which the pattern must be studied. Following that, you are asked to guess the next number in the series using the same approach.

• Some numbers have been incorrectly entered into the number series, and you must identify and rectify them.

Tips and Tricks for NTA NET EXAM Number Series

·         Number series questions are questions in which the numbers in the series are linked to one another. When you recognise the link, it becomes easier to answer the question.

·         Recognize the pattern posed in the question. Once you've identified the pattern, it'll be a lot easy to answer the questions.

·         Once you've recognised the pattern, apply it to the number preceding/following the missing number in the sequence to get the solution.

·         Examine the supplied pattern for prime numbers, perfect squares, cubes, series of known numbers such as Mathematics progression (AP/GP), and so on.

If you can't locate the familiar number, try this: -

Ø Calculate the difference between the supplied series components.

Ø Then look at the pattern indifference to determine whether they follow any regular pattern or known numbers, as mentioned earlier.

Ø If the numbers are steadily increasing, it must be an addition or subtraction series.

Ø If the numbers are fast increasing, it might be a square, cube, or multiplicative series.

Ø If the difference or total do not follow any pattern, it must be an alternative number series.

Ø Now you must indicate that the series follows a complicated pattern. Check for scenarios where you can attain the pattern by multiplying the integer and adding/subtracting a constant number from it.

How to Spot Common Number Series Patterns

The most frequently requested patterns in the number series topic include -

Prime numbers

When the integers in a series are prime numbers that are divisible by themselves and bigger than 1. This number must not have any factors. These are the numbers 11, 13, 17, 19, and so on.

Squares/Cubes

When the numbers in the series are perfect squares, perfect cubes, perfect square roots, or perfect cube roots. These numbers include 81, 100, 121, 144, and so on. These can be of the decimal variety.

Differences reveal a pattern

Calculate the differences between the numbers given in the question's series. This distinction might be either continuous or variable. After determining this distinction, you can locate the problem number, words, or letters in the problem series.

As an example, what are the numbers 2, 7, 12, 17, 22,?

In this series, the difference between each number is 5. As a result, the following number will be 27.

For instance, A, D, G, J,?

The difference in position between these letters is three. As a result, the third letter to J will be M.

Alternate number pattern

If there is a pattern in the alternate numbers, letters, or words in the sequence, you may quickly discover the problem number, letter, or word using this alternate pattern.

As an example, what are the numbers 2, 3, 4, 7, 6, and 11?

The alternative numbers in this series are increased by 2 and 4 steps at a time. As a result, the following number will be 8. To get the solution, repeat the process with a letter or word sequence.

Geometric Collection

When the numbers in the series follow the geometric progression, that is, when each consecutive number in the series is acquired by multiplying or dividing the preceding numbers with a set ratio, the problem number is simply determined.

For instance: 4, 20, 100, 500, etc.

Each number is multiplied by 5 and then arranged in a geometric sequence. As a result, the next number will be 2500.

The neighbouring numbers form a pattern.

The following example demonstrates how neighbouring integers in a series might fluctuate with a logical pattern.

For instance: 2, 4, 12, 48,?

In this series, the first number is multiplied by 2, the second by 3, and the third by 4. As a result, the next number in the series will be 240.

The odd one out

Except for one, all of the numbers are in the series. These numbers can be discovered and eliminated.

Complex Sequences

The disparities between numbers in such a series are dynamic rather than fixed, yet there is still a clear logical norm.

For instance: 3, 8, 15, 24, 33,?

Numbers in this series are increased by +5, +7, +9, and +11. As a result, the following number will be increased by +13. As a result, the solution will be 46.

Complex arithmetic functions

In some series, several operations (+, x, -, and /) are applied sequentially. Such patterns are difficult to discern and might take a long time to identify. As a result, it is best to avoid devoting too much time to such issues. Only attempt the question if you discover the correct answer within the predicted time restrictions; otherwise, go on to the next question.

For instance: 4, 6, 12, 14, 28?

In this series, each prospective number is multiplied by 2 and each prospective number is incremented by 2. As a result, if similar logic is applied to the series, the next number will be 30.

Letter series

One of the simplest rules to solve the alphabetical series problem is the EJOTY rule. Most of the time, you need to remember the position of any letter to solve a puzzle. EJOTY rules will help you to easily find out the position of different letters in the alphabet.
This sort of question is typically composed of a sequence of little letters that follow a specific pattern. The series does, however, lack a few letters. These missing letters are then shown as one of the choices in the correct order. As the response, the candidate must select this alternative.
There are three sorts of letter series:

Each phrase in the One Lettered Series has one letter and follows a certain pattern. We must determine the following phrase based on that pattern.

Example-1: What is the next letter in the series B, F, J, N,?

1) R

2) T

3) Q

4) S

Answer: 1) R

Explanation: B = 2; F = 6; J = 10; and N = 14 The difference between the letters is 4 in this case. As a result, the solution is 14 + 4 = 18, which is R.

Example-2: What is the next letter in the series B, C, E, G,?

1) J

2) I

3) K

4) M

Answer: K

Explanation: B = 2, C = 3, E = 5, G = 7 Here the letters are consecutive primes. So, the next prime number is 11 which is K.

Two lettered series

Each phrase in the Two Lettered Series has two letters and follows a certain pattern. We must determine the following phrase based on that pattern.

1) GR

2) GQ

3) HQ

4) HR

Answer: GQ

Explanation: C = 3; D = 4; E = 5; and F = 6.

M is equal to 13, N is equal to 14, O is equal to 15, and P is equal to 16.

As a result, the next term is G = 7 and Q = 17.

Three lettered series

Each phrase in the Three Lettered Series has three letters and follows a certain pattern. We must determine the following phrase based on that pattern.

For instance, what is the next letter in the series CNL, BLI, AJF, and ZHC?

1) XDY

2) YFZ

3) YFA

4)XFY

Answer: YFZ

Explanation: C = 3; B = 2; A = 1; and Z = 26. (Reduced by one) So the following letter is Y,

which equals N = 14, L = 12, J = 10, and H = 8. (Reduced by 2) So the following letter is F,

which is the sixth. L is equal to 12, I is equal to 9, F is equal to 6, and C is equal to 3. (Reducing by 3) So the following letter is Z, which is the 26th.

CODE

Q.1 If NOTE is coded as OQWl and BOA is coded as CQD, then which of the following is coded as NCWGM?

(a) MATCH

(b) MOKEB

(d) CATCH

Q.2 In one coding language, the word OFFICE is written as NGGHDD. In that programming language, how is DENOTE written?

(a) CDMNSD

(b) EDONUD

(d) EODND

Correct Option: B

Q.3 If "ANANT is coded as "BPDRY", then "MANOJ" will be coded as which of the following options

(a) NCPSO

(b) NDQSO

(d) NCQSP

Correct Option: C

ANANT is coded as BPDRY, here the logic is A+1 = B, N+2 = P, A+3 = D, N+4 = R, T+5 = Y

Hence, code for MANOJ will be, M + 1 = N, A + 2 = C, N + 3 = Q, O + 4 = S, J + S = O i.e. "NCQSO".

Hence, option C is correct.

Q.4 In a certain code language, "YIELD" is written as "YHBGX" and "FORT" is written as "POME". How is "HEIGHT" written in that code language?

(a) NCDFCG

(b) NCCECG

(d) NCCFCG

Correct Option: D

Q.5 In a certain code of language, "PREVENT" is written as "TNEVERP”. How is "SPECIAL" written in that code language?

(a) LAICPES

(b) LAICEPS

(d) LAEICPS

Correct Option: B

The letters of the word are reversed.

Hence, option B is correct.

TRICKS FOR RESOLVING FAMILY OR BLOOD RELATIONSHIP QUESTIONS

Ø Blood Relations Based Questions are quite popular in all sorts of examinations where you have been provided with a relationship among a few members of the family and you need to find the 'Unknown' link that exists meeting the specified requirements based on the supplied facts.

Ø In a roundabout chain, questions illustrate ties among several members of a family.

Ø The applicant is supposed to determine the relationship between two specific people stated in the question.

Ø In general, the question concerns a hierarchical structure based on seven generations three above.

Q.1 Saras pointed to a youngster and said, "His father's wife's brother is my sister's father's only sibling." What is the boy's relationship to Saras?

(a) Son

(b) Niece

(d) Uncle

C is the correct answer.

The boy's father's wife is ‘his mother.'

His maternal uncle' is his mother's brother. Saras' father is Saras' sister's father.

Saras' father's only sibling is Boy's maternal uncle. Saras' paternal uncle is Boy's maternal uncle.

This signifies that the boy is Saras's cousin brother.

Q.2 Pointing to a boy in a photograph, a girl said, "His father's mother is the mother-in-law of my brother's mother." How is the person in the photograph related to the girl?

(a) Maternal Uncle

(b) Grandfather

(d) Paternal Uncle

Correct Option: C

Girl's brother's mother means girl's 'mother'.

Mother-in-law of girl's mother means her grandmother.

The mother of the father of the boy in the photograph is his 'grandmother'. So, the boy's grandmother is also the girl's grandmother.

This means that the boy is related to the girl as her 'Brother.'

Q.3 pointing to a lady Pankaj Said, her mother's only grandson is my son, “How is that Lady related to Pankaj"?

(a) Aunt

(b) Sister

(d) Wife

Correct Option: B

Q.4 Introducing a female. "He is the daughter of my grandfather's only son," Ronit explained. How is that girl connected to Ronit?

(a) Cousin

(b) Niece

(d) Nephew

Option B is the correct answer.

" He is the daughter of my grandfather's only son's daughter."

My grandfather's only son - Ronit's father.

Ronit's father's daughter, daughter of my grandfather's only son. It denotes Ronit's sister. Daughter of my grandfather's daughter - Ronit's sister's daughter.

As a result, the girl is Ronit's niece. As a result, Option B is right.

Q.5 When a girl points to a lady in a photograph, she states Vinita's grandmother is the lady's mother-in-law. How is the lady in the image linked to Vinita?

(a) Mother

(b) Sister

(d) Grandmother

A is the correct answer.

Hence, option A is correct.

What is Vouching? definition, types, sources, objectives and difference between vouching and verification

noreply@blogger.com (JRF ACHIVERS) — Thu, 04 Nov 2021 10:52:00 +0000

Vouching

· Accounting entries in the books must be backed by documentary proof, and the examination of such evidence is referred to as vouching. Using the vouching approach, the auditor determines the legitimacy of the accounting entries. In the absence of sufficient supporting papers, the Auditor may have every cause to suspect mistakes, fraud, or manipulation.

· As a result, auditing is insufficient without vouching.

There are two basic purposes in the auditing process that are based on evidence.

Evidence gathering - By observation, confirmation, inspection, and questioning.

Evidence is evaluated - In terms of relevance, adequacy, and validity.

Objective of Vouching

What are the primary goals of vouching?

· To determine whether or not all company transactions have been correctly documented in the books of accounts.

· To determine whether or not recorded transactions are properly supported by documentary evidence.

· To ensure that all documented proof is legitimate and exclusively pertains to commercial transactions.

· To ensure that transactions are free of mistakes or fraud.

· To ensure that the voucher is appropriately processed through all steps of the Internal Check system.

· To verify and validate whether or not the entries are entered in accordance with the capital and income nature.

· To ensure that accounting transactions are correct.

Importance of Vouching

Vouching serves as the foundation for auditing and is an important aspect of the Auditor's role. In the event of a lapse in vouching, the Auditor will be held accountable; he cannot avoid his responsibilities if he performs vouching negligently.

The following points demonstrate the significance of vouching.

· Vouching is as crucial as the initial entry in the books of accounts. If the original input is incorrect, it will affect every procedure of accounting entry and will have an impact until the ultimate result. Similarly, vouching is the foundation of the auditing process.

· The effectiveness of vouching will determine the audit's success.

· Any mistakes or frauds are easily identified if vouching is done in a thorough and knowledgeable manner.

· Intelligent and loyal vouching will establish the dependability of any organization's financial statements, namely the Profit and Loss account and the Balance Sheet.

· If an effective internal control system exists, the Auditor may elect to do test checking rather than comprehensive vouching.

Vouching and Routine Checking

Routine checking includes checking each carry forward, posting to the ledger account, and balancing the account. Routine checking, which is a mechanical check, is included in vouching, whereas vouching is performed on the basis of documentation proof.

A voucher might be a sales bill, a purchase bill, a payment receipt, a pay-in slip, or anything else. All of these sorts of documented proof are referred to as vouchers.

Types of Vouchers

There are two varieties of vouchers.

· Primary Voucher - A primary voucher is an original copy of a written supporting document.

Purchase Bill, cash memo, pay-in-slip, and so on.

· Collateral Voucher - Copies of supporting papers that are not available in original form, such as a duplicate or carbon copy of a sale invoice, are considered collateral vouchers.

Example of Vouchers

Important Points Regarding Vouching

Regarding vouching, the following considerations must be made.

· Transactional precision.

· Transactional authenticity.

· Accounts must be properly classified.

· Vouchers should be serially numbered and arranged in the correct order.

· Every checked voucher should be marked with a tick and a symbol.

· The amount of the receipt should be the same in both words and figures.

· On receipt, the payment period should be present.

· If this is the case, the receipt should clearly state "advance payment."

· To examine and study the company's books of accounts if they are in the name of a Director, Manager, Partner, or any other employee.

· Any responsible official of the firm must check that adequate voucher certification exists.

· If there are any missing vouchers in the file, they should be investigated.

· Every change to a voucher must be confirmed by the appropriate official.

· Vouching should be completed all at once in a single session for a specific length of time.

· The Auditor should go through all of the costs.

· An Auditor should not do test checking if the organization does not have a sufficient internal control system.

· Account categorization must be double-checked.

· Cash purchases should not be recorded twice, once in cash and then again in credit.

· For some transactions, an auditor should refer to the resolution made at the meeting.

· An auditor should ensure that accounting entries are made using capital and revenue items.

· An auditor should ensure that every payment voucher worth more than Rs. 5,000/- bears the revenue stamp.

Verification

Verification refers to the examination of assets appearing in financial statements to determine whether or not they are in accordance with regulations.

Asset and liability verification is performed to check the following:

· Existence

· Ownership

· Correct valuing

· Possession

· Liberation from encumbrances

· Appropriate recording

Objectives of Verification

The following are the Verification objectives:

· Physical verification is used to confirm the presence of assets.

· Legal and official documentation pertaining to assets are reviewed to validate asset ownership.

· It has been determined that the assets are free of any lien.

· Evidence of correct asset appraisal.

· To ensure that assets are appropriately accounted for in the books.

Vouching and Verification

· Both are thought to be the same thing, although there are significant differences between vouching and verification.

· Vouching is the confirmation of the correctness and validity of accounting entries as they appear in the books of accounts, whereas verification is the confirmation of the existence, ownership, and valuation of assets as they appear in the balance sheet. The Auditor's responsibility extends beyond vouching the entries in the books, because vouching cannot confirm the existence of the corresponding asset or liability at the balance sheet date.

Verification of Liabilities

The following are the goals of liability verification:

· Creditors reflect the business's genuine status in terms of obligations.

· All obligations, whether documented in the books or not, are reported in the balance sheet.

· The value of liabilities is determined in accordance with widely accepted rules.

· The balance sheet correctly classifies and discloses liabilities

Confirmation and Verification

Let us now define the terms confirmation and verification.

Confirmation

Any fact or number must be confirmed by a third party and management, according to the auditor.

Here are a few examples of when the Auditor seeks confirmations:

· Debtors' confirmation of balances.

· Creditors' confirmation of balances.

· Bank confirmation of bank balances, fixed deposits, interest accumulated, overdraft or cash credit limit balance, and so on.

· Confirmation of loan and interest rates from financial institutions.

· Management confirmation on contingent liabilities, etc.

Verification

Verification refers to the Auditor's inspection of assets, which involves asset identification, weighing, and counting.

Which of the following objects need physical verification?

· Stockpiles of land, building materials, and machinery

· Consumables and stores

· Investments \securities \cash-in-hand

· Accounts receivable

Thus, confirmation and verification are two distinct audit procedures, albeit each are equally significant.

Valuation of Assets and Liabilities

· The assessment of various assets and liabilities is referred to as valuation. It is the Auditor's responsibility to ensure that assets and liabilities appear in the balance sheet at their right and correct valuation. In the absence of accurate asset and liability assessment, they will be either overpriced or undervalued.

· As a result, an Auditor must use reasonable care and skill in analyzing the basis of valuation from technical specialists and ensuring that assets represented on the Balance-sheet are accurately valued in line with generally accepted conventions and accounting rules.

Components of Valuation

The methods for valuing assets are as follows.

Cost Price - The cost price paid at the time of asset procurement plus freight costs, octroi charges, commissioning, and installation expenses, and so on to get that asset into useable condition.

Book Value - The value as it appears in the books of accounts, which is the cost price minus depreciation.

Realizable Value - A value that can be achieved by selling assets.

Market Value - The amount that an asset may be sold for if it is in good condition.

Replacement Value – The cost of replacing an asset.

Conventional Value - This is the cost price less any depreciation written off, ignoring any price volatility.

Scrap Value - If an asset is sold as scrap because it is no longer in functioning condition, the item's sale value is scrap value.

Basis of Valuation

The auditor should confirm that the value foundation is valid and dependable.

He should remember the appraisal procedure, which is as follows?

· Original price

· Assets expected working hours

· Wear and tear costs

· The worth of scrap

· Possibility of asset obsolescence

· Fixed assets are evaluated at cost minus depreciation, whereas current assets are valued at cost or market price, whichever is lower.

Vouching, Verification and Valuation

· Accounting records are cross-checked with genuine vouchers throughout the vouching process.

· Asset verification establishes the existence, ownership, and title of assets.

· The worth of an asset is certified via valuation.

· Vouching occurs after the initial entry in the books of accounts.

· At the end of the fiscal year, verification and valuation are performed.

· Senior Auditor and Audit Clerk are in charge of vouching.

· The Auditor performs verification and valuation.

· Genuine coupons are adequate proof for vouching.

· Valuation auditors must rely on certification from the owner/partner/director.

· Physical verification, title documents, and payment receipts, among other things, are used for verification.

Verification and Valuation of Copyright

We will now talk about copyright verification and value.

Copyright

Copyright gives an author legal protection and legal rights, making it illegal for another person to publish his work. The author retains the right to his work for the rest of his life and even for 50 years after his death.

Verification of Copyright

· The Auditor should look over the contract between the author and the publisher.

· If there are many copies of the same copyright with the same publisher. The auditor should request a copyright schedule.

Valuation of Copyright

· Copyrights lose their value with time, and hence the value of copyright is not stable. When the sale of a publication is very low or non-existent, the value of the copyright should be wiped off.

· In the balance statement, the value of copyright will be reported as the cost less the value written off.

Verification and Valuation of Fixed Assets

We will go over the verification and appraisal of various fixed assets.

Freehold Verification Land and Structure

· The auditor should go through the land and building title deeds.

· The land and buildings shown in the books should correspond to the title document.

· Its profit or loss on sale should be recorded in the account.

· Any additions to it should be thoroughly reviewed by the Auditor.

Mortgage Property Verification

· The Auditor should check that there is no second or third mortgage on the property.

· The Auditor must acquire a certificate from the mortgagee stating that the title deed is in his possession.

· If there is a title flaw, the Auditor cannot be held liable. The Auditor can only confirm that the title deed seems to be in order and in the name of the client.

· If the auditor believes it is required, he can get a certificate from a legal adviser confirming the legality of the client's title deed.

Building Evaluation

· Buildings should always be valued at their original cost less depreciation.

· Even if the market worth of the building is significantly more than the cost, depreciation on the building should be supplied.

· Even if the building is not in use, depreciation will be granted.

· Market or releasable value should not be considered because both are volatile.

Freehold Land Verification

· Because freehold land is not depreciable, it will be displayed at cost.

· The cost comprises legal expenses, registration fees, the purchase price, and the broker commission, among other things.

· Payments payable to the Improvement Trust or Municipal Corporation for water, sewerage, roads, development charges, and so on will be included in the price of the freehold land.

· If it is valued on the basis of market value or realisable value, it should be explicitly stated in the balance sheet.

Building Under Construction Verification

· The auditor should double-check the architect's certificate and the contractor's receipt for the amount paid.

· If the client's employees is also involved in its construction, the auditor should get a certificate from a responsible official to that effect.

Leasehold Property Verification

· Separate accounting should be kept for freehold and leasehold property. Leasehold property is purchased for a certain period of time.

The following factors should be considered by the auditor:

· Examine the leasing agreement for value and longevity.

· The lease agreement must be recorded with the registrar.

· The lease's terms and conditions must be followed exactly.

· The Auditor should review the most recent rent receipt to check that the lease agreement is still in effect and has not been terminated owing to nonpayment of rent.

Verification and Valuation of Current Assets

We'll now go over the verification and appraisal of a few key current assets, cash and bank balances, and several debtors.

Cash-in-hand

· Actual cash counting is used to verify cash-in-hand. Cash-in-hand should be checked at the end of the business day or on the balance sheet date. Cash must be counted in the presence of the cashier. If physically verifying cash is not possible for an Auditor owing to a branch being situated abroad or in a distant region, the Auditor should request that all cash-in-hand be deposited in a bank account on the final date.

· An Auditor's principal responsibility is to verify cash-in-hand, and if this is not done, the Auditor will be held liable for failing to do so. If there is a large cash balance on hand at any moment, the Auditor should notify management promptly.

· If the cashier is held accountable for payments made to workers or others, the Auditor should thoroughly review the transaction.

Cash at Bank

For cash verification at the bank, the auditor must examine the following aspects.

· The Auditor shall prepare a bank reconciliation of accounts as of the current date.

· It will provide the Auditor with a clear picture of the status of checks issued but not yet presented in the bank, as well as cheques deposited but not yet cleared.

· There are several types of fraud that may be detected through the creation of a bank reconciliation of accounts.

· The auditor should get several certifications from banks for various types of accounts such as current accounts, fixed deposit accounts, savings accounts, overdraft accounts, and cash credit accounts, among others.

· Directly from banks, the Auditor should get a letter of confirmation of bank balances.

· The bank balances in the bank book and the passbook should be compared by the auditor.

· If payments are placed in foreign banks under exchange control regulations, the Auditor should verify them.

Sundry Debtors

The Auditor is concerned with gathering adequate audit evidence to back up management's claims on the following.

· All amounts are reported in relation to outstanding debtors as of the balance sheet date.

· Debtor valuation is reasonable and correctly applied.

· That all debtors are declared, categorized, and characterized in line with generally accepted accounting principles and procedures.

The debtor verification procedure entails the following steps:

Examination of Records

· The auditor should be satisfied with the legitimacy, correctness, and recoverability of the debtors' balance.

· Excessive discounts should be avoided, and bad debts should be wiped off.

Direct Confirmation Procedure

· Direct contact with debtors is the most effective technique to determine whether the balances are correct, authentic, and uncontested.

· The Auditor will choose the means of obtaining confirmation from debtors whose balances must be confirmed.

· The confirmation procedure can be completed within a reasonable time frame after the end of the year.

· Responses from debtors should be carefully reviewed, and if balances do not correspond, the client should be requested to investigate.

· The Auditor must pay close attention to any balances for which no confirmation has been obtained. They might be made up or fabricated to cover a scam.

Steps for Verification

· The books of accounts can be used to verify book debts, which should be supported by sale documentation.

· Book balances should be given immediately to debtors for confirmation. It will demonstrate the existence of book debts.

· The sales documentation and sales ledger can be used to verify ownership of book debts.

Debtors should inquire about any form of conflict with consumers regarding discounts, claims, and so on.

Steps for Valuation

· The debtor's ledger should be backed up by the sales ledger.

· The auditor should get a list of book debts, bad debts that have been written off, and provision for questionable debts.

· Various debtors should be appraised at their realizable worth.

· The confirmation of balances demonstrates that the debtors' value is valid.

Verification and Valuation of Fictitious Assets

We will now go over the verification and appraisal of the fictional assets listed below.

Preliminary Expenses

· Preliminary expenditures are incurred during the establishment and start-up of the firm.

· These are capital expenses such as stamp duties, registration fees, printing charges, legal fees, and so on.

· These costs are shown in the balance sheet.

· These expenditures are deducted over a three to ten-year period.

· The auditor should ensure that any unwritten amounts are included in the balance sheet.

Discount on Issue of Shares/Debentures

The auditor should ensure that the discount on the issuing of shares/debentures is written off as soon as practicable and that the balance amount is indicated on the balance sheet.

Verification and Valuation of Liabilities

Let us now look at liability verification and appraisal.

Trade Creditors

For the verification and valuation of Trade Creditors, the auditor should conduct the following critical measures.

· The auditor should obtain a schedule of creditors and compare it to the ledger balances.

· The purchase ledger should be examined and confirmed against the buy register, purchase invoices, and debit notes, among other things.

· The auditor should confirm the amount of discount received or receivable from debtors.

· The auditor should thoroughly examine the purchases made in the first and end months of the fiscal year to eliminate any chance of booking current-year purchases to the following year or last-year purchases to the current fiscal year.

· Auditor should pay extra attention to any overdue payment that has been sitting in the creditor's ledger for a lengthy time.

· It is conceivable that the sum has been plundered by an official and the balance remains as it is in the books of accounts.

· The Auditor should confirm the balances personally, and if there is any form of mismatch, it should be resolved.

· The auditor should thoroughly examine the hire purchase agreement in order to verify the purchases made on the basis of Hire-Purchase.

Loans

The Auditor should double-check the following critical aspects for loan verification and appraisal.

· The Auditor should confirm the loan amount, loan type, interest rate, and repayment conditions, among other things.

· In the event that a loan is granted by a bank or financial institution, he should collect and review the agreement and certificate.

· He should acquire confirmation of the balance from the party. He should seek balance confirmation from a source other than the bank from whom the loan is received.

· The Auditor should double-check the interest computation in accordance with the agreement.

· The amount of interest due but not paid during the current fiscal year must be properly accounted for in the books of accounts and indicated as current liabilities.

· In the case of a corporation, the Auditor checks the borrowing power, register of charges, and newly established charge, which must be recorded with the Registrar of Companies.

Capital

The capital of a partnership firm can be validated using a partnership deed, a bank book, a cash book, and so on.

The following methods can be used to verify a company's capital:

First Audit

· In the event of a first audit, the Memorandum and Articles of Association should be evaluated to determine the maximum permissible capital.

· The Auditor should review the minute book, cash book, and bank book to verify the classes, number of shares issued, amount due on calls, amount received, and pending amount of calls.

· If shares are granted to vendors, the vendor agreement must be reviewed.

Subsequent Audit

The Auditor should keep the following items in mind for future audits.

· Sections 61, 64, and 66 of the Companies Act-1956 require that any capital increase be made through a new issuance.

· In the balance sheet, authorized capital will be reported individually.

· Each class of shares should have its own set of issued and subscribed capital.

· Shares awarded to each class as bonus shares, as well as the source of the issuance

· The number of unpaid calls received from directors and others.

· If just one type of share is issued, the capital account should be displayed as Equity Capital.

· Determine the amount called up for each class of shares.

· The quantity of shares allotted without money being received in accordance with the contract.

· Where the corporation has issued redeemable preference shares, the date of redemption should be clearly indicated with the earliest date of redemption.

· If any money was received previously in exchange for forfeited shares, it should be shown separately after being added to the share capital.

· The capital profit from the issuance of forfeited shares should be credited to the capital reserve account.

WHAT IS AUDITING? What is the purpose of auditing?

noreply@blogger.com (JRF ACHIVERS) — Wed, 03 Nov 2021 10:16:00 +0000

AUDITING

Auditing may be traced back to Italy. Around 1494, Luca Paciolo detailed the duties and responsibilities of an Auditor and created the double entry system of accountancy.

Auditing

Auditing in India has been described in a variety of ways.

"Auditing is a systematic and independent examination of data, statements, records, operations and performances (financial or otherwise) of an enterprise for a stated purpose. In any auditing situation, the Auditor perceives and recognizes the propositions before him for examination, collects evidence, evaluates the same and on this basis, formulates his judgment which is communicated through his audit report."

-The Institute of Chartered Accountant of India

Another definition is as follows:

"Auditing is an intelligent and critical scrutiny of books of accounts of a business with the documents and vouchers from which they have been written up, for the purpose of ascertaining whether the working results of a particular period as shown by Profit and Loss Account and also the financial position as reflected in the Balance-sheet are truly and fairly determined and presented by those responsible for their compilation."

- J. R. Batliboi

Auditing in India

Let us now examine the rise of auditing in India. For the first time, the qualifications of an auditor were specified in the Indian Companies Act of 1913. The Government of Bombay was the first to provide courses in accounting, such as the Government Diploma in Accountancy (GDA).

The Auditor's Certificate Rule was enacted in 1932 to ensure consistency in accounting and auditing. The Chartered Accountant Act was passed by the Indian Parliament in 1939. The Act specifies that a person can only be authorized to audit if he passes the examinations administered by The Institute of Chartered Accountants of India.

Here are a few more details about auditing in India.

• According to Section 233-B of the Companies Act, 1956, members of the Institute of Cost and Works Accountants of India are permitted to perform cost audits.

• The Companies Act of 1931 was repealed and replaced by the Companies Act of 1956.

• According to Section 224 of the Companies (Amendment) Act of 1974, an Auditor can only be appointed by a special resolution.

Bookkeeping

A bookkeeper meticulously records day-to-day transactions in the books of accounts.

What is included in bookkeeping?

· Journalizing

· Posting to ledger

· Totaling and balancing of ledger accounts

Accountancy

Accountancy begins when bookkeeping stops and involves the following responsibilities:

• Error correction

• Trial balance preparation

• Financial statement preparation (Trading and Profit & Loss account and Balance-Sheet, etc.)

Auditing

Account preparation is not an Auditor's responsibility. "Where accountancy ends, auditing starts." The auditor is only concerned with inspecting and verifying records. An auditor is a certified individual who is assigned to certify the work of others.

Investigation

An investigation may be conducted for a specific reason. It is typically used to determine a company's financial status, the level of fraud and misappropriation, and the earning capability of any business unit, among other things. The period of the probe may possibly exceed one year. A competent Chartered Accountant may or may not conduct the investigation.

Qualities of an Auditor

An auditor must possess the following credentials and characteristics:

• To conduct cost audits, he must be a certified Chartered Accountant or a member of The Institute of Cost & Works Accountants of India.

• He must have the necessary abilities and attributes to carry out his duties effectively.

• An auditor must be truthful, objective, and unbiased. He should also be hardworking, have good common sense, be able to listen to other people's ideas, and be systematic and methodical.

• If an auditor is unable to grasp the information supplied to him, he should request clarification.

• His audit report should be accurate and concise.

• If a dubious circumstance emerges, he should presume that he is working with dishonest and deceitful individuals.

• He must be well-versed in accounting concepts and procedures.

• He must be familiar with all domestic and international court rulings.

• He must have a solid understanding of financial management, industrial management, and commercial organizations, as well as current knowledge of Mercantile law and the Companies Act.

Scope of Auditing

Unlike in the past, when the primary goal of auditing was to uncover fraud, we now have improved methods for determining a truthful and fair perspective of financial accounts. Almost every country in the globe has recently enacted new legislation and established auditing norms and regulations. In India, legislation relating to Tax Audit, Cost Audit, Management Audit, and Operation Audit, among other things, is on the horizon.

The primary goal of auditing is to confirm the accuracy of financial accounts as well as to uncover mistakes and fraud.

Techniques of Auditing

What are the most prevalent auditing techniques?

• Posting and casting verification.

• Physical asset verification

• Using available evidence, verify and examine transactions.

• Examining the books of accounts.

• Verifying various computations.

• Review of carried forward balances for the next year.

• Examining bank reconciliation statements

• The auditor can get information from both internal and external sources within the organization.

What are the most prevalent auditing techniques?

• Posting and casting verification.

• Physical asset verification

• Using available evidence, verify and examine transactions.

• Examining the books of accounts.

• Verifying various computations.

• Review of carried forward balances for the next year.

• Examining bank reconciliation statements

• The auditor can get information from both internal and external sources within the organization.

Detection and prevention of fraud

The primary goal of auditing is to safeguard an organization's financial stability; detecting fraud is only a byproduct.

The aims of auditing are independent opinion and judgement. An Auditor's role is to guarantee that the books of accounts are kept in accordance with the regulations outlined in the Companies Act; an Auditor must also determine whether the books of accounts present an accurate and fair picture of the company's financial situation.

Which of the following are the three forms of fraud?

· Misappropriation of Cash

· Misappropriation of Goods

· Manipulation of Accounts

Misappropriation of Cash

Misappropriation of cash is the simplest kind of fraud, particularly in large corporate houses when contact between the owner of an organization and the cashier is restricted or non-existent.

What are some examples of techniques to commit embezzlement or misappropriation?

• Theft of cash receipts and petty cash, as well as displaying bogus payments to employees, creditors, and purchases, etc.

• Displaying erroneous or excessive payments in the cash book

• Using the Teeming and Lading approach, money received from one client can be pocketed while money received from another customer is reported as money received from the former.

• Cash sales can be shown as credit sales.

Strict internal control systems should be used in cash collections and payments, so that the job done by one person is automatically examined by another.

Misappropriation of Goods

Goods can be misappropriated in the following ways:

• Products may be stolen by workers or with the assistance of staff.

• False credit notes may be issued to customers in the event of a return of goods.

Detecting theft of commodities is more difficult than detecting misappropriation of money, especially when management is lax and there is no strong system of bookkeeping, internal control, or proper security. To maintain control over the physical verification of items, physical stock must be reconciled with records, and sales and purchases must be carefully checked.

Manipulation of Accounts

Top management is primarily responsible for two sorts of account manipulation in order to deceive certain parties for a certain objective.

Showing higher profits:

The causes for presenting a bigger profit than actual are as follows:

• To secure or improve current credit from financial institutions, as well as to demonstrate creditworthiness to the company's suppliers.

• Maintaining shareholder confidence.

• Declaring larger dividends on shares may be used to increase the market price of the company's shares and enable them to be sold at a higher price.

• To earn a higher commission, where commission is computed based on profit earned.

• Declare a higher dividend rate.

Showing low profits:

The causes for presenting a lesser profit than actual are as follows:

• To avoid or decrease the company's direct taxes (Income Tax, Wealth Tax).

• Buying shares at a reduced cost.

• To convey the erroneous impression to the company's other rivals.

Manner of Manipulation of Accounts

Accounts can be manipulated in the following ways:

Window dressing is the alteration or misrepresentation of financial facts in order to make it appear better than it is.

Some of the window dressing methods are listed below.

• Overvaluation of closing stock

• Undervaluation of liabilities or Overvaluation of assets

• Current-year purchases and costs may be delayed to the following fiscal year

• Charging revenue expenses as capital expenditure

• Sales and other revenue from the previous year may be presented as income or sales in the current year.

* Secret reserves from past years may be utilized to inflate profit in the current fiscal year, or secret reserves may be established to suppress profit in the current fiscal year.

* The stock might be under or overpriced. Sales and income may be repressed or overstated. Expenses and purchases may be understated or overstated.

Detection and prevention of error

Auditors must use extreme caution when detecting mistakes since accounting manipulation might look as an error or as the consequence of negligence on the part of a bookkeeper.

Errors are characterized roughly as follows:

· Error of Principle

· Errors of Omission

· Errors of Duplication

· Errors of Commission

· Compensating Errors

Error of Principle

It is characterized as a principle mistake when the recording of transaction items is not done in accordance with the Accounting Principles. These mistakes cannot be traced back to the trail balance; they may have been made inadvertently or for the goal of manipulating accounts to inflate or deflate earnings.

The following are some examples of such blunders.

• Providing excessive or insufficient depreciation.

• Making an incorrect allowance for ongoing or prepaid expenditures; and

• Allowing revenue expenses to be classified as capital expenditure or vice versa.

• Where income received is credited to the personal account of the person who is making the payment; for example, commission received from Mr. A credited to Mr. A's account instead of the commission account, it will increase creditors in the Balance Sheet and reduce profit in the Profit & Loss account.

• When an expense payment is posted to the personal account of a person who receives payment, for example, the rent paid to Mr. A is incorrectly debited to Mr. A's account, profit increases but debtors grow on the balance-sheet.

Errors of Omission

There are two types of omissions of entry that can occur when recording transactions in the books of accounts:

• When a transaction is completely removed from the books of accounts, the trial balance is unaffected, and detecting such a mistake is difficult.

The following are some examples of such errors:

* Buy or sale omission from the purchase or sale daybook, respectively.

* Failure to include outstanding or unpaid expenditures.

• Transactions that are partially missing from the books of accounts include:

* Where the total of the buy or sale daybook is omitted to be posted in the purchase or sale account, respectively.

* When a payment or receipt transaction is not recorded in a ledger account from the cash book.

Errors of Duplication

It is quite difficult to discover duplicate errors. It might be discovered with correct and minute account inspection; for example, a purchase could be documented twice with an original and duplicate copy of the purchase invoice, and so on. It is also feasible to include the amount of any ledger account in the trial balance twice.

Errors of Commission

When there is a commission error, the entry made in the books of the initial entry, or the ledger account is incorrect.

Consider the following instances.

• A purchase of items for Rs. 25,000 was incorrectly recorded in the purchase book as Rs. 2,500.

• A credit transaction from AB Company was incorrectly credited to the account of BA Company.

• Incorrect totaling the total of the buying daybook is Rs. 1,12,500 rather than Rs. 1,21,500.

• Purchase from AB Company was incorrectly charged to the AB company account rather than crediting the AB company account and debiting the purchase account.

Compensating Errors

A compensatory error occurs when the effect of one error compensates for another error. Such inaccuracies have no effect on the trial balance; for example, the sum of a debit and credit account was Rs. 7,500 shorts. Both will be compensated for by this sort of inaccuracy.

Prevention of Errors and Fraud

After the audit is completed, the auditor might advise his client to make improvements to his accounting procedures and to enhance his internal control system, as an auditor cannot immediately avoid errors and frauds.

Auditors are supposed to conduct audits in accordance with the professional standards that are expected of them. He cannot ensure that there is no fraud.

These criteria should be ensured and followed by an auditor.

· Internal control system

· Whether or not accounting principles are followed when documenting business transactions

· Whether or not management policies are followed

· Whether the provisions of the Companies Act are followed while compiling books of accounts.

· Whether the balance sheet and profit and loss account provide a truthful and fair picture of the company's financial situation.

The following variables determine whether an auditor is liable for mistakes and frauds that go undetected.

· An auditor should audit in accordance with the auditing principles.

· He should carry out his responsibilities in accordance with the norms of his profession.

· Errors should be corrected throughout his audit, and fraud should be noted in his audit report.

· Even a subtle indication that anything is amiss should not be ignored.

· He should have confidence in the correctness of the financial statements.

Auditing Basic Principal Planning

An auditor should organize his task in order to finish it efficiently and on schedule.

An Auditor is responsible for the following tasks in order to plan work effectively.

· Accounting policies and procedures

· Organizational internal control system

· Audit processes must be determined, and audit activity must be coordinated.

Honesty

An auditor must be objective and devoid of conflict of interest. He must be truthful and true in his task, and he must complete it without bias or prejudice.

Secrecy

All information obtained by an auditor during his audit should be kept secret. He should not disclose the information with anybody without the client's consent, and the information should only be given with the client's approval when absolutely necessary.

Audit Evidence

Before performing an audit, an auditor should follow substantive and compliance procedures for gathering audit evidence. An Auditor may collect evidence regarding the accuracy, completeness, and validity of data through substantive procedures, and evidence regarding the internal control system used in the client's organization through compliance procedures.

Internal Control System

A company's key job is to maintain an adequate internal control system in his firm. An Auditor can identify the kind, time, and audit technique to be used to perform his audit based on such internal control system.

Skill and Competence

Audits should be performed by skilled, experienced, and competent individuals, and audit personnel should be kept up to speed on any advancements in accounting, auditing, and legal laws, and regulations as they change.

Work Done by Others

An auditor is permitted to rely on the work of others, but he must use caution when doing so. In his report, he should mention the source of reference.

Working Papers

An auditor should compile and keep all required documentation gathered over the course of his audit. He can utilize these records as audit proof.

Legal Framework

All company operations should be carried out in accordance with the laws and regulations outlined in the legal framework. This is done to protect the interests and rights of the parties involved.

Audit Report

· Auditor should provide his judgement on an organization's financial accounts based on the review and appraisal of audit evidence.

· Financial statements are prepared in accordance with accepted accounting rules.

· All necessary statutory obligations are met through financial statements.

· All-important items are disclosed, and financial statements are presented in accordance with statutory obligations.

Auditing - Advantage

The following are the primary benefits of auditing for various stakeholders.

For the benefit of the owner and shareholders

· Audited financial statements may be relied on by a sole proprietor of a business and partners of a partnership.

· Auditing is useful for business assessment and settlement when a new partner is admitted, a partner retires, or a partner dies. This eliminates the possibility of a firm-wide disagreement.

· The only means for shareholders to evaluate the success of the company's management is through audited financial statements.

For the Management

· Auditing aids in the detection of fraud and the avoidance of mistakes.

· It helps to keep the personnel alert since the job they do is eventually audited.

· Insurance claims may be easily estimated using verified financial statements.

· In financial concerns, management might benefit from the experienced advice of the auditor.

· It is now easy to compare financial statements from various years.

· Tax liabilities may be easily assessed.

For the Government

Taxation authorities, like all other government agencies, rely on audited financial accounts; in some cases, courts will accept them as evidence.

For the Creditors

Creditors of an organization rely on audited financial records as well and give credit limits to commercial organizations appropriately.

For Others

· Insurance firms readily accept audited accounting for claim settlement.

· Audited financial statements are accepted by banks and financial organizations and might help you receive loans and credit.

Auditing - limitations

The following are some auditing constraints.

· Rely on Professionals - For estimation and assessment of fixed assets and estimation of contingent liabilities, an auditor must rely on experts such as engineers, values, and attorneys.

· Efficiency of Management - An auditor does not remark on the efficiency of management functioning in a client company; no comments on an organization's future performance can be made through audited financial statements.

· Checking of All Transactions - It is impossible for an auditor to verify all business transactions, especially in large businesses with a high volume of transactions. An auditor is forced to rely on sampling and testing.

· Extra Financial Weight - Any fees and other similar expenditures incurred as a result of conducting an audit impose an additional financial burden on an organization.

· Some Frauds Are Difficult to Identify - It is difficult for an auditor to detect deeply rooted frauds such as forgeries, misstatements, and non-recording of transactions.

Digital Initiative in Higher Education Through NMEICT

noreply@blogger.com (JRF ACHIVERS) — Mon, 01 Nov 2021 20:13:00 +0000

Digital Initiative in Higher Education Through NMEICT

• MHRD, is responsible for the overall development of the basic infrastructure of Higher Education sector, both in terms of policy and planning. Under a planned development process, the Department looks after expansion of access and qualitative improvement in the Higher Education, through world class Universities, Colleges, and other Institutions through various Digital Initiative in Higher Education.

• To expand the Higher Education sector in all is modes of delivery to increase the Gross Enrolment Ratio (GER) in Higher Education to 15% by 2011-12 to 21% by 2016-17 and 30% by the year 2020.

• The goal of increasing the Gross Enrolment Ratio (GER) in higher education from 24.5 (2015-16) to 30 by 2020, as well as the desire to improve educational quality, would necessitate a large-scale development of high-quality education possibilities.

• Physical growth of such institutions, however, is plagued with both infrastructural and human resource constraints.

• Fortunately, currently of rapidly developing IT facilities, technology may be used to meet the dual problems of improving access and quality.

• The National Mission on Education through ICT (NMEICT) was established with the goal of improving the quality of education with ICT and translating the potential of IT into increased learning possibilities. Over the previous five years, the NMEICT has made great strides in designing IT interventions with the potential to transform the higher education landscape.

• NMEICT has achieved great progress over time by developing IT interventions that have the potential to revolutionise the higher education landscape.

• The following is a list of Digital Initiatives in Higher Education that have been created and devoted to the nation in the field of higher education.

The Top Sixteen Digital Initiatives in Higher Education

#1 Study Webs of Active Learning for Young Aspiring Minds (SWAYAM)

· SWAYAM is an indigenous (Made in India) IT Massive Open Online Courses (MOOCs) Platform for offering high-quality education that can be accessible by anyone, at any time, and from any location via an IT system.

· Massive Open Online Courses (MOOCs) are a concept that incorporates the online distribution of interactive learning content to a huge number of individuals at the same time. It enables the sharing of high-quality education with everyone, bringing about parity in terms of educational quality.

· The SWAYAM platform was created with the assistance of Microsoft by the Ministry of Human Resource Development (MHRD) and the All-India Council for Technical Education (AICTE).

· It will eventually be able to hold 2000 courses and 80000 hours of learning, including school, under-graduate, post-graduate, engineering, law, and other professional courses.

· All the courses on this platform are interactive, created by the greatest professors in the country, and are offered to students in India for free.

· More than 1,000 highly selected academics and instructors from around the country contributed to the development of these courses.

· Furthermore, nine National Coordinators have been chosen to guarantee the highest quality material is generated and delivered: They are as follows:

SWAYAM courses would be accessible at the following levels:

There is a National Coordinator at each level who is in charge of content quality:

· Away from school Children: from 9th to 12th grades (National Coordinator: National Open School Society)

· Students from the ninth to the twelfth grades (National Coordinator: NCERT)

· Courses for undergraduates (non-engineering) (National Coordinator: CEC)

· Courses for postgraduates (non-engineers) (National Coordinator: UGC)

· Management Courses (National Coordinator: IIT Madras) Engineering Courses (National Coordinator: IIT Madras) (National Coordinator: IIM Bangalore)

· Among college students (National Coordinator: IGNOU)

· Educating the teachers (National Coordinator: NITTER Chennai)

The MOOC pedagogy is divided into four quadrants:

[Swayam's official webpage - https://swayam.gov.in/ ]

· Video lessons spanning a whole course - typically 20 hours of training in a sequence of lectures, with each session lasting no more than 30 minutes.

· E-Content: reading content that can supplement the learning provided by video lessons.

· Self-Assessment: Quizzes/assignments that are interspersed throughout the course.

· Discussion thread for posting questions and comments

· All courses taught through SWAYAM are free to learners; however, students seeking certification must register and will be issued a certificate upon successful completion of the course for a small charge.

· At the end of each course, the student will be evaluated through a proctored test, and the marks/grades obtained in this exam may be transferred to the students' academic record. You may find the most recent UGC notification about this here.

· The University Grants Commission (UGC) published Regulation, 2016 addressing 'Credit Framework for Online Learning Courses through SWAYAM' in a Gazette Notification dated July 19, 2016. As a result, a student studying at a recognised institute anywhere in the country who has completed the Online Course through SWAYAM will be awarded Credits, and the credits earned by such a student will be transferred from the Host Institute to the Parent Institute where the student is currently enrolled.

· However, now, such students can only earn up to 20% of total course credits in a semester through online learning offered through the SWAYAM platform.

· You may also download SWAYAM apps from prominent app stores to help you complete your course while on the go.

#2 SWAYAM Prabha: the 34 Educational DTH Channels

· SWAYAM PRABHA is a set of 34 DTH channels dedicated to broadcasting high-quality educational programming 24 hours a day, seven days a week through the GSAT-15 satellite. Every day, there will be fresh content for at least four hours, which will be repeated five times in a day, allowing students to select the time that is most convenient for them. BISAG, Gandhi Nagar, is responsible for the up linking of the canals.

· NPTEL, IITs, UGC, CEC, IGNOU, NCERT, and NIOS supply the content. The online portal is managed by the INFLIBNET Centre.

The DTH Channels include: –

· Curriculum-based course materials in higher education domain spanning numerous disciplines such as arts, science, commerce, performing arts, social sciences and humanities topics, engineering, technology, law, medical, agriculture, and so on (all courses would be certification-ready in their detailed offering).

· School education (9-12 levels) modules; teacher training as well as teaching and learning aids for students in India to help them grasp the topics better and prepare them for competitive tests for entrance to professional degree programmes

· Curricula and courses in India and overseas that can suit the demands of lifelong learners or Indian citizens

· IIT-PAL — to aid kids in Classes 11 and 12 who want to attend IITs by developing scientific thinking and conceptual knowledge, which are required to answer the "difficult" questions of JEE Advanced, so that excellent quality applicants access the IIT portals. This would be divided into four channels: mathematics, physics, chemistry, and biology.

· With the active collaboration of the Bhaskaracharya Satellite Application Centre and Geo Informatics (BISAG) Gandhinagar and ECIL Hyderabad, the project was planned and executed in three months.

· http://www.swayamprabha.gov.in/ is the official website.

#3 National Digital Library (NDL)

· Under its National Mission on Education through Information and Communication Technology (NMEICT), the Ministry of Human Resource Development (MHRD) has launched the National Digital Library of India (NDL India) pilot project to create a framework for a virtual repository of learning resources with a single-window search facility.

· The MHRD has sanctioned a project titled "Development of National Digital Library of India, Towards Building a National Asset" to IIT, Kharagpur under NMEICT.

· NDL is a Single Window Platform that collects and collates information from renowned learning institutions in India and throughout the world, as well as other sources.

· NDL India is intended to host material in any language and to provide interface support for the most popular Indian languages. It is being designed to serve all academic levels, including researchers and life-long learners, all fields, all popular types of access devices, and differently abled students.

· The National Digital Library of India intends to gather, preserve, and distribute our country's total intellectual output while also providing online access from elementary to postgraduate levels, including technical education.

The project's goal is to grow:

· General framework for collecting a huge quantity of e-contents for school, college, and higher education, e-content, virtual library, meeting the demands of learners of varying abilities

· Design and development of an "OAI-PMH" server for metadata harvesting, indexing, and other purposes.

· Serve as a pan-India virtual teaching-learning-evaluation-knowledge platform, as well as a vital national asset and knowledge repository.

· On this site, collect materials from various Ministries such as the Ministry of Culture, Health, Rural Development, and the Department of Science and Technology.

· Filtered and federated searching are used to promote focused searching so that learners may discover the correct resource with the least amount of effort and in the shortest amount of time.

· Through the NDL, more than 72 lakh digital books are available. The contents span practically all-important educational fields and all major levels of learners, from elementary school to the highest degree of education, including life-long learners.

· More than 15 lakh students have signed up for the NDL. The NDL is also accessible via a mobile app.

#4 National Academic Depository

· The National Academic Depository (NAD) is a government of India project to improve digital storage, access, and verification of academic awards awarded by academic institutions.

· NAD is a one-of-a-kind, innovative, and forward-thinking effort under the "Digital India" concept aimed at attaining digital enablement of educational records. NAD seeks to realise the objective of Digital Academic Certificates for every Indian.

· This has an impact on the lives of Indian kids by providing them with Digital, Online, Trusted, and Verifiable Certificates that are always available in a safe manner.

· NAD claims to eliminate the hassles and inefficiencies associated with collecting, storing, and presenting physical paper certificates.

#5 e-Shodh Sindhu

· The MHRD developed e-Shodh Sindhu based on the advice of an Expert Committee, which merged three consortia efforts, namely the UGC-INFONET Digital Library Consortium, the NLIST, and the INDEST-AICTE Consortium.

· The e shodh Sindhu programme makes more than 15,000 worldwide electronic journals and e-books available to all higher educational institutions. This enables digital access to the top educational materials in the world.

· The Scheme is being implemented by the INFLIBNET in Gandhinagar, Gujarat.

Website: https://www.inflibnet.ac.in/ess/about.php

#6 Virtual Labs

· We are unable to conduct tests due to physical distances and a lack of resources, especially when advanced tools are involved. Furthermore, competent teachers are constantly in short supply. To some extent, web-based and video-based courses solve the issue of teaching. It has always been difficult for two participating universities to conduct cooperative experiments while also sharing costly resources.

· With today's internet and computer technology, the limits listed above can no longer prevent students and researchers from expanding their skills and knowledge. Furthermore, in a nation like ours, expensive instruments and equipment must be shared with fellow researchers to the greatest extent feasible.

· Web-enabled experiments might be created for remote operation and observation to inspire students' curiosity and ingenuity. This would aid in the learning of fundamental and complex ideas through remote testing.

· Most modern equipment has a computer interface for control and data storage. It is feasible to create effective experiments around some of these pieces of equipment, which would improve a student's learning. Internet-based experimentation also allows for the utilisation of resources – knowledge, software, and data – that are available on the internet, in addition to promoting skilled experiments to be done from sites distant in space (and possibly, time).

· Virtual Lab does not necessitate any additional infrastructure deployment to perform tests on the user's premises. To conduct the studies remotely, only one computer terminal with high-speed Internet access is required.

· Over 205 virtual laboratories in 9 Engineering & Science disciplines, totaling over 1515 experiments, are now active and are being accessible by over 6 lakh students.

Website: http://www.vlab.co.in/

#7 e-Yantra

· Under the NMEICT Programme, an MHRD programme called "E-Yantra" is being developed to include robotics into engineering education with the goal of engaging students via fascinating hands-on applications of mathematics, computer science, and engineering concepts. During Phase I of the project, the creation of robotic platforms was shown extremely effectively. E-Yantra is now being used in 100 colleges.

· E-Yantra is developing capabilities in nearly 100 engineering institutions by establishing lab facilities for project-based learning and educating teachers.

· In the future, the MHRD envisions the main competencies produced by IITB as developing, disseminating, and analysing material to generate more people with practical abilities.

· All the projects and code are accessible as open-source content on the E-Yantra website, www.eyantra.org.

#8 Campus Connectivity

· The National Mission on Education through Information and Communication Technology (NMEICT) intends to maximise the use of information and communication technology (ICT) in the teaching and learning processes. The Mission also seeks to deliver 20 512 Kbps broadband connections to over 25,000 colleges and 2000 polytechnics, as well as one Gbps optical fibre link to 419 universities/university level institutions in the country, which will include internet access.

· In keeping with the PMO's 'Digital India' policy, the MHRD has recently determined that university campuses (with 1 Gbps bandwidth) would be Wi-Fi enabled. All IITs, IIMs, and NITs have already installed Wi-Fi campuses.

· The procedure of installing optical fibre and providing Wi-Fi at Central Universities is currently under progress.

#9 Talk to a Teacher

· Talk to a Teacher, developed by IIT Bombay, is a National Mission on Education through ICT initiative funded by the Ministry of Human Resource Development to provide free access to a few selected graduate and postgraduate courses taught at IIT Bombay by distinguished faculty members and scholars at large.

· It makes use of Amrita University's A-View collaboration platform to provide virtual classes to instructors around the country. These courses may be accessed for free at lower bandwidths on a computer/laptop with a headphone and an Internet connection.

· Registration is not necessary because there is no evaluation/certification procedure. The courses are videotaped live in IIT Bombay classrooms and may not reflect the whole course material.

· Aside from basic courses in engineering and computer science, the curriculum also includes Humanities and Social Sciences. So far, more than 80,000 instructors have been taught as part of this effort, which involves the simultaneous delivery of courses from IIT Mumbai and IIT Kharagpur.

#10 Ask A Question

· Ask A Question is a one-of-a-kind platform where students from science and engineering institutes across India may ask questions and academics from IIT Bombay respond. Students can submit questions via an online forum or during a live interactive session. Every Thursday from 4:00 p.m. to 5:00 p.m. in the subject of Electrical Engineering and every Friday from 4:00 p.m. to 5:00 p.m. in the field of Physics, interactive live sessions are held.

#11 e-Acharya

· E-Acharya, also known as the NMEICT's 'Integrated e-Content Portal,' is the official repository of NMEICT e-content, and all content produced under NMEICT is being put at this Repository platform at INFILIBNET Centre Gandhinagar, in order to apply basic tenets of preservation for digital content, implement standard Metadata schema of various types for the digital content, and ensure their long-term availability.

· All Project Investigators awarded creation of e-Content under NMEICT have been asked to ensure that the deliverables are put as soon as possible in the MHRD's Integrated Portal/e-Acharya.

· Furthermore, the NCERT should send e-content Links to e-Acharya, and the NOIS shall supply the material on HDD to the e-Acharya repository, with both ensuring that all content, including e-Books, is made available on e-Acharya.

· The e-Acharya, in addition to being a repository of material, must also contain all of the Metadata.

· These items and it will constitute a vertical of the IIT Kharagpur's 'National Digital Library' (NDL).

· The e-Acharya will be supported by a strong 24X7 Data Centre, which will be connected with the NMEICT, Cloud network, which will be put up at the NIC / NKN Data Centre by lIT-Delhi and dubbed 'Baadal.' MOOCs created under NMEICT must also be uploaded to e-Acharya.

#12 E-Kalpa

· Another MHRD/NMEICT effort, "e-Kalpa," which creates a Digital-Learning Environment for Design in India, has effectively proven the attainment of the following project objectives after completing phase-I:

v Online learning resources in the form of digital files Design with Design e-Learning Programs

v Crafts are included in the digital design resource database.

v Higher Learning Social Networking with a Collaborative Learning Space for Design

v Design suggestions for National Mission in Education via ICT goods

· As of December 2015, the content of "D'source" Kalpa's website includes 160 Courses on Design Learning in various domains, more than 400 Resources in the form of fine examples of Design and crafts, 110 Case studies of Design Projects undertaken by professionals and design students, 50 Video lectures and presentations by subject experts, and 600 examples of a visual Gallery that has documented works of the rich tradition of art and design seen across different regencies.

#13 The Free and Open-Source Software for Education (FOSSEE)

· The FOSSEE initiative, which is sponsored by IIT Bombay, promotes the adoption of open-source software in educational institutions (http://fossee.in ). It accomplishes so through instructional materials like spoken tutorials, documentation like textbook companions, and awareness programmes like conferences, training seminars, and internships. The Textbook Companion (TBC) is a collection of code for solved examples from common textbooks.

· Approximately 2,000 college students and professors took part in this project, and nearly 1,000 TBCs were produced in Scilab and Python alone.

· FOSSEE has made all of the TBCs open source and freely available for download. Scilab and Python TBCs are likewise in the cloud, therefore all that is required to access/execute TBC scripts is a browser.

· OSSEE promotes the well-known open-source software: For computational fluid dynamics, Open FOAM is an alternative to the commercial programme Fluent; for chemical process simulation, DWSIM is an alternative to the private product Aspen Plus.

· FOSSEE has also undertaken various new open-source software efforts, including the creation of eSim, an electrical design automation programme that is an alternative to ORCAD, and Sandhi, a data collection and control software that is an alternative to LabVIEW.

· The FOSSEE team also focuses on open-source hardware projects like Open PLC and Arduino. A vast number of students have been trained around the country as a result of all of these programmes.

#14 e-Vidwan

· With funding help from NMEICT, the 'Information and Library Network' (INFLIBNET) Centre launched "Vidwan: Expert Database and National Researcher's Network."

VIDWAN's goals are as follows:

· Collect academic and research profiles of scientists, academics, and research scientists working in top academic and R&D institutions in India and throughout the world.

· Provide information about specialists to peers, potential collaborators, funding agencies, policymakers, and research academics in the country in a timely and easy manner.

· Establish direct connection with specialists who hold the skills required by research academics.

· Determine who will serve as peer reviewers for publications and research proposals; and

· Create possibilities for knowledge sharing and networking among scientists.

The database may be used to choose expert panels for various committees and taskforces constituted by Ministries / Government entities for monitoring and assessment.

Furthermore, the availability of a single point expert database will assist policymakers and funding agencies in making decisions and intervening in policy. As of December 31, 2015, the database had over 17,500 profiles of specialists from 2,000 prominent academic institutions, universities, and R&D companies including as IITs, CSIR, DRDO, and others.

#15 Spoken Tutorial

· Spoken Tutorial is a multi-award-winning online instructional resource. Here, one may self-learn different Free and Open-Source Software. Our self-paced, multi-lingual courses ensure that anybody with a computer and a desire to learn may learn from anywhere, at any time, and in any language.

· The Spoken Tutorial project is part of the 'Talk to a Teacher' programme of the National Mission on Education through Information and Communication Technology (ICT), which was launched by the Ministry of Human Resources and Development of the Government of India.

· Forums is a welcoming online discussion board. You may join current debates or initiate new ones, and the Spoken Tutorial community will respond in a big way. Registration for Forums is absolutely free and only takes a minute.

· Forums is simple to use, even for computer novices. It's simple to format forum posts using fonts, colours, and a variety of other settings. You may attach files straight from your PC to your postings.

#16 Central cloud Infrastructure

· The MHRD under NMEICT has granted a project to IIT Delhi to set up a strong 24X7 supported Data Centre, and the activities have been set up at NIC / NKN Data Centre, and the cloud is known as 'Baadal.' e-content Acharya's and video content is hosted on the IIT Delhi cloud.

NIRF

· NIRF- established on September 29, 2015, by the Ministry of Human Resources, this framework intends to provide a mechanism for rating universities across our country. The MHRD-established Core Committee reached a comprehensive degree of knowledge and, as a result, made general recommendations. Only the technique has been driven since then.

· The goal is to define broad-level criteria for rating Indian universities and institutes. "Teaching, Learning, and Resources," "Graduation Outcomes," "Research and Professional Practices," "Outreach and Inclusivity," and "Perception" are some of the main aspects discussed.

GIAN

· Aims to leverage the talent of the country's strong academic network-scientists, entrepreneurs-at the worldwide level. To promote their general participation with Higher Education Institutes in India so that the country's current academic resources may be supplemented and the pace of quality changes can be accelerated. To further enhance India's technical and scientific capabilities in order to achieve global excellence.

· This allows us to bring the greatest worldwide academic experience into our educational systems.

· It would allow students and professors to interact with the world's greatest academic and industrial professionals, as well as benefit from their experiences and push people to find answers to Indian challenges.

UAY

The main goals of the UAY plan are to foster innovation and development in IITs by solving manufacturing industry challenges; to stimulate the inventive mind-set; to coordinate action between academics and industry; and to expand labs and research facilities.

IMPRINT-Impacting Research Innovation & Technology

The first of its kind Pan-IIT + IISc cooperative programme to solve important issues in science and engineering, backed by the MHRD. These issues must be addressed, and India must lead the way in doing so in order to allow and empower the country to achieve self-sufficiency and inclusive progress.

This innovative sort of initiative with a dual mission is aimed to:

· Creating a new engineering education policy

· Creating an excellent road plan for pursuing engineering problems

This plan gives an overall vision in higher education that can lead research towards topics that are primarily socially important.

Technical Education Quality Improvement Programme of Government of India (TEQIP)

The MHRD launched it in December 2002. Its goal was to support and scale up ongoing initiatives to improve the quality of technical education in India, as well as to strengthen technical institutions' existing capacity to become more dynamic, quality aware, demand-driven, forward-thinking, effective, and responsive. It has the potential to contribute to the rapid economic and technical advances that are taking place at both the national and international levels.

PMMMNMTT

PMMMNMTT- Pandit Madan Mohan Malviya National Mission on Teachers & Teaching

• It is intended to cover all concerns concerning teachers, teacher preparation, teaching, and professional development in a holistic manner. The Mission addresses contemporary and pressing concerns such as the shortage of trained instructors, attracting talent to the teaching profession, and improving teaching quality in schools and institutions. Building a robust professional cadre of quality teachers with performance criteria is also important.

RUSA

Rashtriya Uchchtar Shiksha Abhiyan.

• It is the Centrally Sponsored Scheme that the Central Government must execute at the state level - strategic funding, reforms, and improvements in the Higher Education sector.

Classification and Tabulation of Data in Statistics

noreply@blogger.com (JRF ACHIVERS) — Thu, 28 Oct 2021 19:52:00 +0000

Classification and Tabulation of Data

Q.1 What does Classification mean? Give Classification aims and fundamentals of an excellent classification.

Classification is the process of organising data into various groups, classes, and sub-classes based on some common characteristics and dividing it into distinct but related parts.

Classification's primary goals are as follows: -

i. To make data more accessible and precise

ii. To promote comparison

iii. The cause-and-effect link is shown by classified facts.

iv. Arrange the data in an orderly and methodical manner.

v. The data can only be displayed in suitable tabular form.

The following are the essentials of an ideal classification: -

i. Classification should be so comprehensive and thorough that every individual unit is classified in one of two ways.

ii. Classification should be appropriate for the investigation's aims.

iii. The categorization foundation should be stable so that comparisons may be made.

iv. The facts should be organised properly and methodically.

v. Data should be categorised based on homogeneity.

vi. It should be mathematically correct.

Q.2 What is the meaning of Manifold Classification?

Manifold classification occurs when data is categorised into more than two classes based on more than one characteristic.

Q3. What exactly are Class Limits?

Class limits refer to the two values that define a class. Lower limit (L1) refers to the first or smaller one, and upper limit (L2) refers to the larger one (L2)

Q4. How many different types of Series are there based on Quantitative Classification? Explain the distinction between Exclusive and Inclusive Series.

Frequency distributions are classified into three types:

i. Individual Series: In an individual series, each item or value appears only once. For example, marks earned by 10 students in a class are written individually.

ii. Discrete Series: A discrete series is one in which the individual values differ by a distinct amount.

As an example: Wage per day 5–10–15–20

Number of employees: 6–9–8–5

iii. Continuous Series: When the number of items is kept within the bounds of the class, the series formed by classifying such data is known as a continuous series.

As an example: 0-10 10-20 20-30 30-40

No. of students 10 18 22 25

What is the distinction between Exclusive and Inclusive Series?

Q5. What is the definition of Bivariate Frequency Distribution?

A bivariate frequency distribution is one that results from the simultaneous categorization of data based on two criteria.

Q6. Can you provide the Sturges Formula for calculating the Magnitude of Classes?

The following formula, developed by Prof. A. H. Sturges, can be used to calculate class intervals.

Where –

I = class interval

N = No. of observations

L = Largest value

S = Smallest value

Q7. Describe Tabulation. Describe the goals of tabulation and the various types of tables.

"Tabulation in its widest meaning is an orderly organisation of data in columns and rows," writes Blair.

Tabulation is the process of displaying gathered and categorised data in columns and rows in a suitable order and systematic manner so that it can be readily compared, and its properties can be clarified.

Tabulation Objects:

i. Data should be presented in an orderly and systematic manner.

ii. Making data exact and consistent.

iii. To make comparison easier.

iv. To make the situation apparent and obvious.

v. To make data analysis and interpretation easier.

Q.8 What are the essential components of a good table?

The number of pieces is determined mostly by the nature of the data.

A table, on the other hand, should include the following components.

i. Table No.: Each table should be numbered so that it may be identified by that number.

ii. Title: Each table must have a proper title that is brief, clear, and full.

iii. Captions: A caption is a column heading that describes what the column represents.

iv. Stubs: Stubs are the row or row header identifiers.

v. Body: This is the table's heart. The numerical data is contained in the table's body.

vi. Ruling and Spacing: Ruling and leaving space relies on the topic's demands and makes the table nice and elegant.

vii. Footnotes: Explanatory remarks may be provided at the end of the table to explain the figures reported in the table.

viii. Source: The source or origin of the presented data is stated at the end of the table.

Collection and Editing of Data || What exactly is the difference between primary and secondary data || What is the distinction between a mistake and an error?

noreply@blogger.com (JRF ACHIVERS) — Wed, 27 Oct 2021 10:12:00 +0000

Collection and Editing of Data

Q.1 What do you mean by data collection? Distinguish between primary and secondary data.

The primary activity of statistical science is data collection. It refers to the collecting of information and numbers linked to a certain occurrence under the study of any subject, whether in business economics, social sciences, or natural sciences. Such information might be received directly from individual units, referred to as primary sources, or from previously published material, referred to as secondary sources.

What exactly is the difference between primary and secondary data

Q.2 What exactly do you mean by "questionnaire"? Give the advantages of a good questionnaire.

A questionnaire is a document that contains questions relevant to the specific demand of a statistical inquiry for the gathering of information, and it is filled out by the informants themselves.

A good questionnaire should include the following characteristics:

i. Questions that are straightforward, clear, and concise.

ii. Simple multiple-choice or alternative questions.

iii. Unmistakable and precise.

iv. The questions should be asked in the correct order.

v. Accuracy test.

vi. There will be no restricted queries impacting personal whims.

vii. Assurance of confidentiality to informants.

viii. The likelihood of a flawless solution.

ix. Questions that are directly relevant

Q.3 What are the laws of 'Statistical Regularity' and 'Inertia of Large Numbers'?

Based on probability theory, the Law of Statistical Regularity argues that if a sample is drawn at random from a population, it is likely to have the same characteristics as the population. A sample chosen in this manner would be representative of the entire population. If this criterion is met, it is feasible to describe the features of the population pretty accurately by analysing only a subset of it.

The 'Concept of Inertia of Large Numbers' is a corollary to the law of statistical regularity. It asserts that all else being equal, the greater the sample size, the more accurate the results are expected to be. This is due to the fact that when big numbers are evaluated, the changes in the component components tend to balance each other out and, as a result, the variance in the aggregate is unimportant.

Q.4 What exactly is random sampling? Alternatively, define Random Sampling.

Random sampling is a method of selecting objects in such a way that every item in the universe has an equal chance of being chosen. Random sampling is a probability-based method that is devoid of bias.

The many ways of Random Sampling are as follows:

a) Lottery method.

b) Turning the drum.

b) By methodical organisation.

d) Routed wheel technique

e) Using random numbers

Q5. What exactly do you mean by statistical error? What is the difference between a mistake and an error?

The discrepancy between the actual and estimated values of a figure is referred to as a statistical error. For example, if the number of students at a college is 1,255 but printed in round figures as 1,300, the disparity is referred to as a 'Statistical mistake.' Prof. Connor defines "error" as "the difference between the estimated value and the real or ideal value, the exact determination of which is not feasible."

What is the distinction between a mistake and an error?

Q.6 Create a note on the Editing of Primary and Secondary Data for Analysis and Interpretation.

Before analysing and interpreting the data, it is required to edit it to uncover any flaws and inaccuracies in order to achieve reliable and unbiased findings. Thus, editing refers to the act of checking for mistakes and omissions and, if required, making fixes. Editing is a highly specialised activity that needs a high level of ability and attention to achieve the desired level of correctness.

Primary Data Editing:

The following considerations should be kept in mind when altering primary data:

i. Consistency editing

ii. Editing to ensure completeness

iii. Editing for precision

iv. Editing for consistency or homogeneity

Secondary Data Editing:

Because secondary data has already been gathered, it is extremely desired that such data be thoroughly examined before being used by the investigator. Bowley correctly observes that "secondary data should not be accepted at face value."

As a result, before considering secondary data, investigators should examine the following:

i. Whether the Data are Appropriate for the Purpose of the Investigation: Quite often, secondary data does not meet current demands since it was compiled for another purpose. The variance might be in the units of measurement, the date/period to which the data is connected, and so on.

ii. Whether or whether the data is sufficient for the investigation: The adequacy of data is to be assessed in light of the survey's requirements and the geographical region covered by the available data. For example, if our goal is to investigate the salary rates of workers in the sugar business in India, yet the available data only covers the state of Rajasthan, the study will be ineffective.

iii. Whether or not the data is reliable:

The following factors should be considered when determining the dependability of secondary data:

i. The collection agency was objective.

ii. The enumerators have received sufficient training.

iii. A thorough examination of the correctness of the fieldwork.

iv. Was the editing, tabulating, and analysing done meticulously and conscientiously?

Correlation in Statistics || Degree of Correlation || Karl Pearson's Coefficient of Correlation || Spearman's Rank Correlation || What is the difference between Probable Error and Standard Error?

noreply@blogger.com (JRF ACHIVERS) — Tue, 26 Oct 2021 19:49:00 +0000

Correlation

Q.1 What exactly is correlation? Describe the various types and degrees of correlation.

These variables are considered to be correlated if they fluctuate in such a way that changes in one cause changes in the other. A rise in the price of a commodity, for example, reduces demand for it, and vice versa. There is some relationship between the husband and wife's ages, rainfall, and productivity.

The variables are considered to be correlated if a change in one induces a commensurate change in the other. "Correlation is typically used to describe the analysis of covariation of two or more variables," explains A. M. Tuttle.

(i) Positive and Negative Correlation: A positive correlation exists when changes in two linked series occur in the same direction, i.e., a rise in one variable is related with an increase in the other variable. Increase in father's age, for example, increases in son's age. If the two connected series vary in opposing directions, that is, a rise in one variable is associated with a drop in the other, the correlation is said to be negative.

(ii) Linear and Non-Linear Correlations: A correlation is considered to be linear if the amount of change in one variable tends to carry a constant ratio of change in the other variable. If the variables in this series are marked on graph paper, we obtain a straight line. If the amount of change in one variable does not bear a constant ratio to the amount of change in the other variable, the correlation is said to be non-linear or curvilinear.

For example, doubling the quantity of rainfall does not always increase the amount of produce.

(iii) Simple, Partial, and Multiple Correlation: Simple correlation is used when only two variables are evaluated. Multiple correlations are defined as the study of the shared influence of two or more independent variables on one dependent data series. For example, if the effects of rain, soil, and temperature on potato yield per acre are investigated, there will be many correlations.

Partial correlation, on the other hand, recognizes more than two factors but considers just two variables to be affecting each other, with the influence of additional influencing variables held constant.

Degree of Correlation: The degree of correlation is used to understand the co-efficient of correlation.

The coefficient can have one of the following values —

Q.2 Explain the Mathematical Methods for Determining Correlation.

The following methods can be used to calculate the correlation coefficient. –

(i) Karl Pearson's Coefficient of Correlation (r): In practice, Karl Pearson's Coefficient of Correlation (r) is commonly utilized. The existence of linear relationships in both series is an assumption of Karl Pearson's coefficient of correlation.

This approach is regarded as the best measure since it indicates the direction of change in data, whether positive or negative, as well as the degree of correlation, which should always be between +1 and -1.

Computation of Karl Pearson's Correlation Coefficient:

Direct Method

Short Cut Method

(i) Spearman's Rank Correlation: When measuring ideal numbers is impossible owing to a lack of numerical data, ranking figures are utilized. These rankings are decided by the magnitude of the data. The coefficient of rank correlation is calculated using rankings rather than actual data.

Charles Edward Spearman, a British Psychologist, invented this approach in 1904. This scale is particularly effective for assessing honesty, attractiveness, talent, and knowledge, among other things.

Rank Correlation Calculation:

(a) First, give rankings to the data from both series. The greatest value is designated as I, while the lowest value is assigned as 1. However, whether we begin with the lowest or greatest value, we must use the same procedure for both variables.

(b) Calculate the difference between two rankings (R1-R2), i.e. (D)

In the event of Tied Ranks or Equal Ranks: If some values in a distribution are equal, the average rank is assigned to those items.

The correlation formula will be as follows:

M à No. of items where ranks are common.

(i) Concurrent Deviation Way: This is the most basic method. It is helpful to understand the relationship between short-term changes in time series. It is not always required to know the exact degree of connection, but it is crucial to know if the correlation is positive or negative.

The concurrent Deviation technique is ideal for this purpose.

Correlation Calculation:

- Compare each item in both series to the item before it. If the second item is larger, use (+); if it is less, use (-); and if it is equal, use (=).

- Add the indicators of both series together.

- Add together the positive signals to get the (C) number of concurrent deviations.

Use the following formula:

Where –

C àNo. of concurrent deviation

N à No. of pairs – 1

Q.3 What is the difference between Probable Error and Standard Error? What are the guidelines for determining the significance of the coefficient of correlation?

The term "probable error" refers to an anticipated error in Karl Pearson's coefficient of correlation, which aids in determining the upper and lower limits of potential correlation. With the aid of probable error, it is possible to establish the dependability of the coefficient's value because it is dependent on random sampling conditions.

The likelihood of a mistake is calculated using the following formula:

Where –

r à Coefficient of correlation.

N àNo. of items

Standard Error: Standard Error is now favoured above probable error. In any random sample statistics, the degree of the standard error is the standard deviation of the sampling distribution. Other things being equal, it is critical that standard error be as tiny as feasible.

The lower the standard error, the more uniform the sample distribution.

The following are the rules for determining the significance of the coefficient of correlation:

(i) It is significant if the coefficient of correlation is more than 6 times the probable error (r > 6 P.E).

(ii) It is not important if r is smaller than P.E. (r < P.E).

(iii) It is unimportant if r is smaller than 0.3 P.E. (r < 0.3 P.E).

Diagrammatic and Graphic Presentation of Data in Statistics

noreply@blogger.com (JRF ACHIVERS) — Mon, 25 Oct 2021 20:22:00 +0000

Diagrammatic and Graphic Presentation

What precisely is Diagrammatic Representation? Explain the significance of diagrams.

Diagrammatic presentation is the representation of statistical data in the form of appealing forms such as bars, circles, and rectangles. A diagram is a visual representation of statistical data that highlights key facts and relationships. Geometrical figures include lines, bars, squares, rectangles, circles, curves, and so on.

Diagrams are very useful in the display of various forms of facts. When properly created, they clearly display information that may otherwise be lost in the complexities of numerical tabulation.

Importance of Diagrams: - A correctly produced diagram appeals to both the eye and the mind since it is practical, straightforward, and easily intelligible even by people unfamiliar with presenting methods.

The following principles will help you understand the use or significance of diagrams:

i. Attractive and Effective Presentation Methods: Beautiful lines full of diverse colours and indications captivate human sight and do not strain the observer's thinking. A well-prepared graphic can convey a message to a layperson who does not desire to engage with figures.

ii. Make Data Simple and Understandable: A large amount of complicated data may be readily comprehended when presented in the form of a diagram. "Diagrams let us comprehend the whole meaning of a complex numerical issue at a single glance," says Shri Morane.

iii. Facilitate Comparison: Diagrams allow for comparison of two sets of data from various times, areas, or facts by presenting them side by side in a diagrammatic format.

iv. Save Time and Energy: Data that would take hours to grasp becomes evident by simply looking at whole facts represented by diagrams.

v. Universal Utility: Because of their advantages, the diagrams are employed to convey statistical data in a variety of contexts. It is a popular strategy in economics, business, administration, social work, and other fields.

vi. Useful in Information Communication: A diagram depicts more information than a table does. Data information is made more accessible to the general public through diagrams, and it enters the mind of a person with ordinary understanding.

What are the different sorts of diagrams?

The many forms of diagrams may be classified under the following headings —

(1) Two-dimensional diagrams,

(2) One-dimensional diagrams

(3) Three dimensions diagrams

(4) Pictograms

(5) Cartograms

1. One Dimensional Diagrams (also known as Bar Diagrams): - The most popular sort of diagram is a bar diagram. A bar is a thick line whose breadth is only presented to draw attention to it. They are dubbed one-dimensional because the length of the bar is all that matters, not the breadth.

Types of Bar Diagrams:

i. Line Graphs: Lines can be drawn to save space when the number of items is vast but the percentage between the maximum and minimum is small. These graphics only depict individuals or time series.

ii. Simple bar diagrams: They are used to depict only one variable. For example, a basic bar diagram can be used to display sales, production, and other numbers from various years. The width of the bars is the same, but the length varies.

These diagrams are useful for individual series, discrete series, and temporal series.

ii Multiple Bar Diagrams: A multiple bar diagram depicts two or more sets of connected data. To differentiate the bars, different hues, colours, or dots are employed. These are used to compare two or more time and place related variables.

iv. Sub-divided Bar Diagrams: A sub-divided bar diagram is one in which a bar is divided into many pieces. Each component takes up a section of the bar in proportion to its percentage of the total. A subdivided bar diagram, for example, can indicate a family's total expenditure on numerous commodities such as food, clothes, education, housing rent, and so on.

v. Percentage Sub-Divided Bar Diagrams: Percentage sub-divided bars are very useful for measuring relative data changes. When creating such diagrams, the length of the bar is kept constant at 100, and segments are cut in these bars to represent the components of an aggregate.

vi. Profit – Loss Diagrams: If the relative change in cost and sales, or profit or loss, is to be depicted using bars, a profit – loss diagram is created. These diagrams are created in the same manner as percentage subdivided bars.

vii. Duo-Directional Bar Diagrams: A duo-directional bar diagram is a comparative assessment of two primary components of data in a single bar. These pair directional diagrams are shown on both sides of the horizontal axis, above and below the base line.

viii. Paired Bars: Paired bar diagrams are employed when two separate pieces of information in different units need to be shown. These bars are horizontal rather than vertical, with the first scale in the first half and the second scale in the second half.

ix. Deviation Bar Diagram: Deviation bars are commonly used to indicate net amounts, such as net profit, net loss, net exports, net imports, and so on. Positive and negative values can be assigned to such bars. Positive values are displayed above the base line, while negative values are displayed below it.

x. Progress Chart or Gant Chart: These charts are commonly used in factories to compare actual production to planned production. It can be seen how much output has been achieved and how much is still lagging behind capacity.

xi. Pyramid Bar Diagram: This type of diagram is used to depict population distribution. This graphic depicts the population distribution based on gender, age, education, and so on. The base line is in the centre of this diagram, and it has the shape of a pyramid.

xii. Sliding Bar Diagrams: These bars are similar to deo-directional bars, but instead of absolute values, they indicate percentages of two variables. One is featured on the right side of the base, while the other is presented on the left.

2. Two Dimensional Diagrams: The height and breadth of the bars will be evaluated in two dimensional diagrams. The magnitude of data is represented by the area of the bars. These diagrams are frequently referred to as area diagrams or surface diagrams.

The most important kinds are as follows:

i. A rectangle diagram.

ii. A square diagram; and

iii. A circle or pie diagram.

\ i. Rectangle Diagram: Rectangles are frequently used to show the magnitude of two or more values. Rectangles' areas are retained in proportion to their values. They are set side by side like bars, with regular space between each rectangle.

There are three sorts of rectangles:

a) Simple rectangles,

b) Sub-divided rectangles, and

c) Percentage sub-divided rectangles.

ii. Square Diagrams: A square diagram is more suited when there is a considerable difference between the extreme values (for example, the lowest value is 4 and the largest value is 800). First, the square roots of the provided values are computed, then the sides are determined in proportion to the square roots. To create a beautiful and appealing look, the squares are drawn serially on the common base line, either in rising or decreasing heights.

For computing the scale, the area is computed by squaring its side, and a value of 1 sq.cm. is calculated on that basis.

iii. Circle or Pie Diagram: Because these diagrams are more appealing, pie diagrams are chosen over square diagrams. These diagrams are used to show facts such as population, international commerce, and production, among other things. To obtain the radii for the circles, the square roots of the provided numbers are computed and then divided by a common factor.

The formula is used to compute the area of a circle. The sides of squares are used to calculate the radii of various circles. A circle can also be subdivided based on the angles that must be computed for each component.

There is a 360-degree circle in the middle of the circle, and proportional sectors are chopped to make the total data equal 360 degrees.

3. Three Dimensional Diagrams: Three-dimensional diagrams take length, breadth, and height (depth) into account. If the gap between the minimum and maximum value is too large to be represented by a square or circle diagram, a three-dimensional graphic is employed. The cubic roots of the provided integers are computed for this purpose.

Cubes, blocks, spheres, and cylinders are examples of three-dimensional diagrams.

4. Pictograms: Government and non-government organisations utilise pictograms for marketing and publicity by using relevant images.

5. Cartograms: Cartograms, also known as statistical maps, are used to depict data. Cartograms are a simple and basic style of visual display that is very simple to grasp. Mapographs or cartograms are commonly used to emphasise regional or geographical similarities.

What exactly is Graphic Presentation?

According to M.M. Blair, "the graph is the most simple to grasp, the easiest to construct, the most changeable, and the most extensively used sort of chart." A graphic presentation is a visually appealing way of presenting statistical data. The graph serves as an analytical tool, simplifying and making complicated data understandable.

Graphs are preferable in the following situations:

a) If it is more necessary to measure trend than actual measurement.

b) When a comparative evaluation of many data series on a single graph is necessary.

c) If estimate and interpolation are to be graphed.

d) If the frequency distribution is shown by two or more curves.

What exactly is a False Base Line?

When creating the graph, the vertical scale (y-axis) must begin at zero. However, because the numbers are large in some circumstances, adjusting the scale on the (y-axis) beginning with zero is not feasible. If the vertical scale starts at 0, the curve will be largely focused on the top of the graph paper.

In such circumstances, the scale part from zero to the minimum value of the objects to be displayed is ignored. This is expressed on the graph paper by drawing a double saw tooth line in the empty area or by cutting the y-axis. This is referred to as utilising a fake base line.

It's designed this way to emphasise that the Y axis is missing in the middle.

What exactly is a histogram? Explain the distinction between the Absolute Histogram and the Index Histogram.

The curve produced on graph paper by displaying variables of a time series is known as a 'Histogram,' since it exposes the data's prior history. A time series is a collection of statistical data arranged in chronological order with regard to the passage of time. A year, quarter, month, week, days, hours, and so on are all examples of time periods.

These graphs can be made on either a natural scale or a ratio scale. Absolute histograms are created when the actual values of a variable are drawn on graph paper.

Absolute histograms can be composed of:

i. One variable or

ii. Two or more variables.

Plotting index numbers of real values on graph paper yields index histograms.

What are the many forms of frequency distribution graphs?

Graphs may also be used to depict frequency distribution. Such graphs make it possible to compare the form and pattern of two or more frequency distributions.

The following are the most commonly used graphs:

i. Frequency diagram on a line

ii. The histogram

iii. Frequency polygon

iv. Frequency curves or Ogive curves

v. Cumulative frequency curves or Ogive curves

i. Line Frequency Diagram: This diagram is commonly used to graph discrete series. The values are displayed on the X-axis, while the frequencies are displayed on the Y axis. Vertical lines are drawn on the X-axis against the relevant values, with the height corresponding to the respective frequencies.

ii. Histogram: A histogram is a type of graph that is commonly used to display a continuous series. The class intervals are presented on the X-axis, while the frequencies are shown on the Y-axis. The data is represented as a sequence of rectangles stacked on top of each other.

The frequency of the group is represented by the height of the rectangle. Each rectangle is connected to the next to form a continuous image. A histogram is a graphical approach for determining mode in a continuous series.

The rectangle with the greatest frequency is considered to be the rectangle in which mode exists. This rectangle's top corner, as well as the surrounding rectangles on all sides, are linked diagonally. A perpendicular line is drawn on the OX-axis where two lines interact with one other.

The value of mode is the place where the perpendicular line intersects the OX-axis.

iii. Frequency polygon: It’s a graphical representation of both discrete and continuous series. The frequency polygon for a discrete frequency distribution is obtained by plotting frequencies on the Y-axis against the corresponding size of the variables on the X-axis and then joining all the points with a straight line. A straight line connects the mid-points of the top of each rectangle of the histogram in a continuous series.

To make the area of the frequency polygon equal to the histogram, the line is stretched on both sides to reach the base line (X-axis).

iv. Frequency Curve: The frequency curve is the curve formed by creating a smooth frequency polygon. It is made by smoothing the lines of a frequency polygon. This curve is made freehand such that the angularity vanishes, and the area of the frequency curve stays equal to the area of the frequency polygon.

Cumulative Frequency Curve, often known as the Ogive Curve, is a graphical representation of the cumulative frequency distribution of a continuous series.

It may be classified into two types:

(a) Less than Ogive and

(b) More than Ogive.

Less than Ogive: This curve is generated by graphing less than cumulative frequencies against the corresponding upper-class limitations. A straight line connects the obtained locations. It is a sloping uphill curve sloping from left to right.

More than Ogive: It is calculated by graphing the cumulative frequency of ‘more than' against the lower-class boundaries of the individual classes. The collected points are linked by a straight line to yield ‘more than ogive'.

What exactly are Index Numbers? What is the significance or value of Index Numbers? || What exactly is the Base Year? Differentiate between the Fixed Base Method and the Chain Base Method.

noreply@blogger.com (JRF ACHIVERS) — Sun, 24 Oct 2021 09:49:00 +0000

Index Numbers

Q1. What exactly are Index Numbers? What is the significance or value of Index Numbers?

Index Numbers are customised averages that are used to track the change in a set of connected variables across time. Index numbers are now one of the most used statistical tools, and they are employed in almost every discipline.

Spiegel claims that,“An Index Number is a statistical measure designed to show changes in a variable or a group of related variables with respect to time, geographic location or other characteristics such as income, profession etc.”

Index Numbers Are Important:

i. Index Numbers Assist in the Development of Appropriate Policies: Index numbers aid in the development of administrative policies. For example, in establishing the employees' dearness allowance, the cost-of-living index is employed.

ii. They Show Trends: Index numbers are most employed to predict commercial and industrial trends. We may deduce the trend of production by evaluating the index numbers of industrial output over the previous few years.

iii. Aids in Comparative Study: Because index numbers are in relative form, they may be used to compare data that cannot be compared using basic averages.

iv. Important in Forecasting: Index numbers are frequently employed in time series analysis, the historical study of long-term trends, seasonal fluctuations, and so on.

v. General Use: Index numbers are important in economic, commercial, social, and other fields such as agriculture.

Q2. What exactly is the Base Year? Differentiate between the Fixed Base Method and the Chain Base Method.

A base year is a year against which the current year's developments are measured. The base year should be a regular year in every way, unaffected by war, starvation, inflation, and so on.

The starting year should not be too ancient. The base period index is always set to 100.

In the fixed base approach, the year chosen for index number creation remains constant at all times, as does the base.

In the chain base technique, the base year is changed every year, and it is usually the prior year rather than a set year.

Q3. Give the different sorts of weights. Why are Weights utilised in Index Number construction?

The word 'Weight' refers to the relative relevance of the various components in the index's development. Wheat and rice, for example, are more important in daily life than jute and iron.

Weights are classed in the following ways:

i. Weights, explicit and implicit: Explicit weights are referred to as direct weights. They might take the shape of a number or a monetary value. A commodity or its variation is included in the index a number of times in implicit weighing.

ii. Fixed and Fluctuating Weight: Fixed weights are weights that remain constant from year to year. Weights that shift from time to time are referred to as fluctuating weights.

iii. Arbitrary and Actual Weights: When real numbers or units are utilised, the weights are referred to as real weights.

Arbitrary weights are utilised when certain unrealistic weights are applied based on the investigator's own will and assumptions.

Weights are utilised in the development of Index numbers because not all elements are of equal significance, and hence some adequate mechanism must be devised to account for the changing importance of the different objects. This is accomplished by allocating weights.

Q4. What are the various ways for creating Index Numbers?

The chart below depicts many techniques of computing index numbers —

(I) Unweighted Index Numbers:

(a) Simple Aggregative Method:

The base year might be a single year's price, a multi-year price, or an average price.

The geometric mean may also be used to average the price relationships.

(II) Weighted Index Numbers:

(a) Weighted Aggregative Method:

(i) Laspeyre’s Method:

Where –

P1 à Price of current year.

P0 à Price of base year.

q0 à Quantity of base year

q1 à Quantity of current

(b) Weighted Average of Relatives:

This approach obtains the price relatives for each commodity, multiplies these price relatives by the value weights for each item, then divides the product by the total of weights.

Q5. Fisher's Formula is referred to as the Ideal Formula. Why?

Fisher's formula is referred to as the ideal for the following reasons:

i. It is based on the geometric mean, which is thought to be the best method for producing index numbers.

ii. It passes both the time and factor reversal tests.

iii. It considers both current year and base year pricing and volumes.

iv. It is not biased.

Q6. Explain the different Index Number adequacy checks.

The following checks are used to choose a suitable formula. –

i. Time Reversal Test: A time reversal test determines if a particular method will operate both forward and backward in time.

This test states that if the current year's index number is computed on the basis of the base year (P01) and then the base year's index number is computed on the basis of the current year (P10), both index numbers should be reciprocal of each other, i.e., the product of both should be one.

Symbolically, the following relationship should be met -

P01 X P10 = 1

ii. Factor Reversal Test:

According to this test, if a price index is multiplied by a quantity index with the same base, provided years, and commodities, the result should be the real value ratio, i.e., the ratio of current year price to total price of the base year.

If the product is not equal to the value ratio, there is a mistake in one or both of the index numbers, according to this test.

i. Circular Test:

This test is simply a variation on the time reversal test. The test specifies that if an index is generated for the year 'a' on base year 'b' and for the year 'b' on base year 'c', the outcome should be the same as if we computed an index for 'a' on a base year 'c' directly without using 'b' as an intermediate.

So, if there are three indices P01, P12, and P20, the circular test is satisfied if and only if the following conditions are met:

P01 X P12 X P20 = 1

Q7. What are the techniques for calculating the Consumer Price Index or the Cost of Living Index?

Consumer price index numbers, also known as cost-of-living index numbers, are intended to assess the impact of changes in the prices of a certain set of goods and services on the buying power of a specific class of society over a given period, with reference to some fixed base.

Its goal is to determine how much more consumers in a specific class must pay for a specific basket of goods and services in a given period as compared to the base period.

To calculate consumer price index figures, one of two approaches is used:

i. The Family Budget method or the weighted average of relative’s method.

ii. The Aggregate Expenditure Method.

Family Budget Method: The price relatives for each commodity are generated using this procedure, and these price relatives are multiplied by the value weights for each item, and the product is divided by the total of weights.

Aggregative Expenditure Method: This is the most often used method for calculating consumer price index data. The current-year and base-year commodity prices are multiplied by the amounts consumed in the base year.

The current year's aggregate spending is divided by the base year's aggregate expenditure, and the quotient is multiplied by 100.

This approach is identical to Laspeyre's method.

Q8. What exactly do you mean by base Shifting? Please provide the formula for converting the Fixed Base Index Number to the Chain Base Index Number.

It is occasionally required to switch the base year used for generating the index number of a series from one period to another without reverting to the original date. This movement in the reference base period is sometimes referred to as ‘shifting the base.'

Converting Fixed Base Index to Chain Base Index Formula –

Q9. What exactly is splicing?

When a series of index numbers is created by starting with a certain year and then stopping, the final year of that series is used as the base year and another series is created.

It may be essential to transform these two series into a continuous series at times. This is referred to as splicing.

Forward splicing is the process of connecting old and new series, whereas reverse splicing is the process of converting old and new series.

a) Formula for Forward Splicing:

b) Formula for Backward Splicing:

Q10. What do you mean by index number deflation?

Making adjustments for the effect of shifting price levels is what deflating entails. A rise in the price level implies a decrease in the buying power of money.

Deflating index numbers refers to the act of altering a series of pay, wages, or income based on current price changes in order to determine the amount of real salary, wages, or income.

It is required when the price level rises and the expense of living rises as well.

Regression must be defined. What is the significance of the two Regression Lines? Under what circumstances may just one Regression Line exist?

noreply@blogger.com (JRF ACHIVERS) — Fri, 22 Oct 2021 10:14:00 +0000

Linear Regression

Q1. Regression must be defined. What is the significance of the two Regression Lines? Under what circumstances may just one Regression Line exist?

Regression literally means "return" or "go back." In the nineteenth century, Francis Galton employed regression for the first time in his work "Regression towards Mediocrity in Hereditary Stature" to examine hereditary traits.

In current times, regression is not only used to research genetic traits, but it is also frequently utilised to study the anticipated dependency of one variable on another.

As a result, regression refers to the process of calculating the best likely values of unknown data for a variable based on the known values of another variable.

Forecasting, decision making, and examining two or more variables in the economic sector are all aided by regression.

It also displays the correlation's direction, quality, and degree.

Regression Line:

A regression line is defined as the line that provides the best estimate of the dependent variable for every given value of the independent variable. If we consider two variables, X and Y, we will have two regression lines: The regression of X on Y and the regression of Y on X.

Regression Line X and Y:

In this configuration, Y is an independent variable and X is a dependent variable, and the best predicted value of X is computed for the given value of Y.

Regression Line Y on X:

In this case, Y is the dependent variable, and X is the independent variable; the best anticipated value of Y is judged to be comparable to the provided value of X.

One significant reason for having two regression lines is that they are based on the least square assumption, which states that the sum of squares of the deviations from different locations to that line must be the smallest.

The deviations from the line of best fit can be assessed in two ways: vertically, parallel to the Y axis, and horizontally, parallel to the X axis.

It is necessary to have two regression lines to minimise the total of the squares independently.

Single line of Regression:

When the two variables have a perfect positive or perfect negative correlation (r = 1), the regression lines will meet or overlap and create a single regression line.

Q2. What exactly is the distinction between Regression and Correlation?

Q3. How do Regression Equations get their names? Explain.

Computation of Regression Equations:

Regression equations are algebraic expressions of regression lines.

There are two equations that are like lines:

Computation of Regression Coefficients:

Q4. Provide an explanation of the Regression Coefficients. How is Correlation derived from Regression Coefficients?

Interpretation of Regression Coefficients:

i. If both coefficients are positive, the correlation coefficient will be positive; if both coefficients are negative, the correlation coefficient will be negative.

ii. The sign of both regression coefficients will be the same.

iii. The sum of both regression coefficients cannot be more than one.

Calculation of Correlation Coefficient from Regression Coefficient:

What is the relationship between Arithmetic Mean, Geometric Mean, and Harmonic Mean? Why is the Arithmetic Mean higher than the Geometric Mean and the Geometric Mean higher than the Harmonic Mean?

noreply@blogger.com (JRF ACHIVERS) — Thu, 21 Oct 2021 23:42:00 +0000

Measures of Central Tendency

Q.1 What do you mean by Central Tendency Measures? Define the terms arithmetic mean, medium, and mode.

The central tendency of a variable refers to a typical value around which other values tend to cluster; hence, the value reflecting the central tendency of the series is referred to as measurements of central tendency or average.

Clark says, “Average is an attempt to find one single figure to describe whole of figures.”

Arithmetic Mean (X): The arithmetic mean is the most common and extensively used metric for expressing the complete data set by a single number. Its value is calculated by adding all the items and dividing the sum by the number of items.

There are two kinds of arithmetic means:

• Simple Arithmetic mean

• Weighted arithmetic mean

Calculation of Arithmetic Mean:

Step-Deviation Method in Individual Series: Not applicable

Step-Deviation Method in Discrete Series:

Median (M):

The median is the variable value that divides the group into two equal halves, one with all values larger than the median and the other with all values less than the median.

Calculation of Median:

a) Individual Series: Sort the variables into ascending or descending order.

b) Discrete Series:

• Sort the variables in ascending or descending order, and then compute the cumulative frequencies.

• The median will be the value (X) corresponding to this in the cumulative frequency.

c) Continuous Series:

• Arrange the variables ascending or descending.

• Cumulative frequencies should be calculated.

• (N/2) is used to get the median class.

Mode (Z):

The value that appears the most frequently in a series is known as the mode, and it is the value of the item around which frequencies are most densely packed.

Calculation of Mode:

a) Individual Series:

I. By inspection - value is the most frequently repeated.

II. Individual series are converted into distinct series.

b) Discrete Series:

I. By inspection – the value with the highest frequency.

II. By categorizing.

III. According to the empirical connection.

a) Continuous Series:

I. First, determine the model class by inspection or grouping.

II. Next, use the following formula -

Q.2 What are the fundamental components of an Ideal Average?

I. It should be simple to grasp.

II. Well-defined and rigorously defined.

III. Based on all observations.

IV. Easy to compute.

V. Less susceptible to fluctuations.

VI. Algebraic treatment is possible.

VII. Stability of sampling.

Q3. What exactly is Geometric Mean? Give the Algebraic Characteristics of Geometric Mean and explain why it is helpful.

The nth root of the product of N items or values is the geometric mean.

Geometric Mean Algebraic Characteristics:

I. If each component is replaced with a geometric mean, the result remains unaltered.

II. Geometric mean cannot be calculated if some item in the series has a negative or zero value.

III. The product of the geometric mean's related ratios is always equal.

IV. Changing the order of the items has no effect.

It is permissible or beneficial to employ the geometric mean: -

· When looking for ratios or percentages.

· When determining rate of rise or rate of reduction.

· When the various values are vastly different.

Q.4 What Does the Word Harmonic Mean? In what situations is Harmonic Mean used?

A series' harmonic mean is the reciprocal of the arithmetic mean of the reciprocal of its item values.

Calculation of Harmonic Mean (H.M.):

Individual Series Discrete & Continuous Series

H.M. = Reciprocal

The Harmonic Mean is utilized in the following situations:

· To calculate average speed or velocity.

· To determine the average price.

· If the variable item in the question is to be kept constant in the answer, or vice versa, harmonic mean will be computed.

Q.5 What exactly is Partition Value? Can you provide a method for computing different Partition Values?

Partition values are the values of the elements that split the series into multiple sections. Quartiles, Quintiles, Octiles, Deciles, and Percentiles are four, five, eight, ten, and hundred equal portions of a variable. The preceding partition values provide an understanding of the construction of the series that is utilized in the computation of dispersion and skewness.

Partition Values are calculated using the following formula:

Q.6 What is the relationship between Arithmetic Mean, Geometric Mean, and Harmonic Mean? Why is the Arithmetic Mean higher than the Geometric Mean and the Geometric Mean higher than the Harmonic Mean?

The relationship between the arithmetic mean, geometric mean, and harmonic mean may be expressed as —

When computing arithmetic mean, larger values are given more weight than tiny ones, however in harmonic mean, smaller values are given considerably more weight than larger values. As a result, the arithmetic mean is bigger than the geometric mean, and the geometric mean is greater than the harmonic mean.

What do you mean by Dispersion? Give the meaning of Absolute Measure and Relative Measure with example || What is the method of measuring Dispersion. Write the formula for calculating combined S.D.

noreply@blogger.com (JRF ACHIVERS) — Wed, 20 Oct 2021 02:12:00 +0000

Measures of Dispersion

Q1. What do you mean by Dispersion? Give the meaning of Absolute Measure and Relative Measure for example.

Dispersion could be a lie of the extent to that the individual item varies from a central worth. Dispersion is employed in 2 senses,

I. Distinction between the acute things of the series and

II. Average deviation of things from the mean.

a) Absolute Measure: The figure showing the limit or magnitude of dispersion is understood as an absolute live and it's shown within the same unit as; those of the first information, example measures of dispersion within the age of scholars, their height, weight etc.

b) Relative Measure: For comparative study the regarding absolute live is split by the corresponding mean or another characteristic worth to get a quantitative relation or proportion, that is understood because the relative live.

Q.2 Explain the various methods for measuring Dispersion. Also give their merits and demerits?

Following are the important methods of studying dispersion –

(1) Numerical Methods:

a) Methods of limits

i) Range

ii) Inter-quartile range

iii) Percentile Range

b) Methods of average deviation:

i) Quartile Deviation

ii) Mean Deviation

iii) Standard Deviation

(2) Graphic Method - Lorenz Curve:

Range:

The distinction between price {the worth} of the littlest item and the value of the most important item of the series is named RANGE.

Range = Largest item – Smallest item

Merits of Range:

- Simple and easy to be computed.

- It takes minimum time to calculate.

- Not necessary to understand all the values, solely the smallest and largest price is needed.

- Helpful in internal control of the product.

Demerits of Range: -

- Not supported all the things.

- Subject to fluctuation/uncertain live.

- Cannot be computed just in case of open-end distributions.

- As it's not supported all the values it's not thought about as an honest or acceptable live

ii) Inter-Quartile Range: -

Inter-quartile vary represents the distinction between the third mark and therefore the 1st mark. it's conjointly called the RANGE of middle five hundredth values.

àInter-quartile range = Q3 – Q1

Merits: -

- It is simple to calculate.

- Can be measured in open finish distributions.

- It is least laid low with the uncertainty of the acute values.

Demerits:

- It doesn't represent all the values.

- It is an unsure live.

- It is incredibly a lot tormented by sampling fluctuations.

iii) Percentile Range:

-It is the distinction between the values of the ninetieth and tenth score. it's supported the centre eightieth things of the series.

Percentile Range = P90 – P10

Merits and Demerits:

- Its use is restricted. Percentile range has virtually similar merits and demerits as those of the interquartile range.

Percentile Range = P90 – P10

iv) Quartile Deviation / Semi – Interquartile Range:

- Quartile Deviation provides the typical quantity by that the 2 quartiles dissent from the median. Quartile deviation is the associate degree absolute measure of dispersion.

It is calculated by using the formula –

Merits:

- It is straightforward to calculate and perceive.

- It encompasses a special utility in measuring variation in open finish distributions.

- QD isn't plagued by the presence of utmost values.

Demerits:

- It is extremely abundant plagued by sampling fluctuations.

- It doesn't offer a thought of the formulation of the series.

- It isn't capable of any pure mathematics treatment.

v) Mean Deviation:

Mean Deviation is additionally called average deviation or the first measure of dispersion. It's the common distinction between the things in an exceeding distribution and therefore the median mean or mode of that series.

Computation of Mean Deviation:

Merits:

- It's easy to know and straightforward to cypher.

- supported every item of the information.

- Least laid low with the acute values.

- It is computed from an average, mean, median or mode.

Demerits:

- Signs square {measure} neglected thus mathematically it's incorrect and not a big measure.

- can't be compared if mean deviations completely different {of various} series square measure supported different averages.

vi) Standard Deviation (σ):

Standard Deviation was introduced by Karl Pearson in 1823. It's the foremost necessary and widely used measure of learning dispersion because it is free from those defects from that the sooner strategies suffer and satisfies most of the properties of an honest measure of dispersion.

Standard Deviation is the root of the common of the sq. deviations from the arithmetic mean of a distribution.

Co-efficient of ordinary Deviation:

Standard deviation is an associate absolute measure. Once a comparison of variability in 2 or a lot of series is needed, a relative measure of ordinary deviation is computed that is named coefficient of standard deviation.

Computation of Standard Deviation:

Coefficient of variation: Coefficient of variation is used for the comparative study of stability or homogeneity in more than 2 or more series.

Merits:

- Supported all the things.

- Well-defined and definite measure of dispersion.

- Least stricken by sample fluctuations.

- Appropriate for algebraical treatment.

Demerits:

- Standard Deviation is relatively troublesome to calculate.

- A lot of importance is given to the acute values.

vii) Graphical Method - Lorenz Curve:

This curve was devised by Dr Max O‘Lorenz. He used this method to indicate a difference in wealth and financial gain of a bunch of individuals. It's a straightforward, attractive, and effective measure of dispersion, nevertheless, it's not scientific since it doesn't give a figure to measure dispersion.

Merits:

- Easy to know from the graph.

- Comparison is often drained 2 or a lot of series.

- Attractive & effective.

- Concentration or density of frequency are often better-known from the curve.

Demerits:

- It's not a numerical measure; thus, it's not definite as a mathematical measure.

- Drawing of curves needs longer and labour.

Q.3 What is the method of measuring Dispersion. Write the formula for calculating combined S.D.

Standard Deviation is the best methodology of mensuration dispersion as deviations taken from mean and algebraical signs don't seem to be neglected and it's algebraically correct.

The formula for calculating combined Standard Deviation:

What is Skewness? Why is a Curve said to be Skewed? How the Skewness of a Curve measured?

noreply@blogger.com (JRF ACHIVERS) — Thu, 14 Oct 2021 10:29:00 +0000

Measures of Skewness

Q.1 Explain the various methods of measuring Skewness.

Skewness measurements are intended to provide information on the direction and degree of asymmetry in a variable. These measurements might be either absolute or relative.

Methods of Measuring Skewness:

(i) Karl Pearson’s Measure: This measure is based on statistical averages.

(a) Absolute Measure (Skewness) (Sk):

Sk = X - Z or Sk = 3(X - M)

(b) Relative Measure or Coefficient of Skewness (J):

Skewness is represented by an algebraic sign; if it is positive, skewness is positive. Skewness is negative if it is −.

(ii) Bowley’s Measure or Quartiles Measure:

Bowley's skewness metric is known as the second measure of skewness. This measure is helpful in distributions with an ill-defined mode, but it may also be employed in open-ended distributions.

and Coefficient of skewness

(iii) Kelly’s Measure:

It is derived using percentiles and deciles and is based on 90% of the data.

Skewness = P90 + P10 – P50 or D9 + D1 – D5

and Coefficient of Skewness (Jp)

= P90 + P10 – P50 or D9 + D1 – D5

P90 - P10 D9 - D1

Q.2 What is Skewness? Why is a Curve said to be Skewed? How the Skewness of a Curve measured?

Asymmetry or absence of symmetry in the form of a frequency distribution is referred to as skewness. Skewness, in other words, characterises the form of a distribution.

When the mean and median of a distribution fall at opposite locations in the distribution, the centre of gravity is moved to one side or the other — to the left or right.

The concept of skewness will be clear from the following diagrams –

(i) Normal or Symmetrical Distribution:

The frequency spread is the same on both sides of the curve's centre point. The distribution curve for such a distribution is bell-shaped. Mean, Median, and Mode all have the same value.

(ii) Asymmetrical or Skewed Distribution: A distribution which is not symmetrical is called a skewed distribution. It can be of two types:

a) Positively Skewed Distribution

In a positively skewed distribution, the curve has a longer tail to the right, the mean is at its highest, the mode is at its lowest, and the median is in the middle.

b) Negatively Skewed Distribution

In a negatively skewed distribution, the tail is longer to the left, and the value of mode is 'maximum,' while the value of mean is 'minimum,' with the median falling in between the two.

Negatively & Positively Skewed Distribution

The following tests are used to determine if a distribution is skewed or not.

Skewness is present if –

- If the mean, median, and mode are not the same.

- If the curve does not have a bell form.

- The quartiles are not equally spaced from the median.

- If the total of the deviations from the median and mode is more than zero, then

- The distribution is skew if the sum of the frequencies on the two sides of the mode is not equal.

Q.3 Give the difference between Dispersion and Skewness.

Define 'Statistics' and describe its features, What exactly is meant by 'Data'? and Examine the Scope of Statistics.

noreply@blogger.com (JRF ACHIVERS) — Tue, 12 Oct 2021 11:14:00 +0000

Q.1 Define 'Statistics' and describe its features.

Statistics refers to the numerical representation of facts.

Its meaning can be split into two parts:

Plural and singular.

Statistics, in its plural form, refers to a collection of numerical facts or data, such as pricing statistics, agricultural statistics, production statistics, and so on.

In its single form, the term refers to the statistical procedures used for data gathering, analysis, and interpretation.

Statistics have the following characteristics:

a) they are an aggregate of facts/data.

b) they are numerically stated; and

c) they are affected by many variables.

d) Collected or estimated

e) Reasonable accuracy standard

f) Predetermined goal

g) Equivalent

h) Orderly collection.

As a result, statistics refers to the process of gathering, categorising, presenting, analysing, and interpreting numerical information that are comparable for some predefined goal.

Q.2 What exactly is meant by 'Data'?

Data refers to any collection of measures that happen to be of interest to us. These measurements provide data that the decision maker can use. Data are the cornerstone of every statistical inquiry, and collecting data is the same duty for a statistician as gathering stone, mortar, cement, bricks, and other building materials is for a builder.

Q.3 Examine the Scope of Statistics.

Statistics cover a wide range of topics.

It is separated into two sections:

(i) Statistical Methods: which include collection, classification, tabulation, presentation, analysis, interpretation, and forecasting.

(ii) Applied Statistics: It is split into three sections:

a) Descriptive Applied Statistics: This analysis's goal is to offer descriptive data.

b) Scientific Applied Statistics: Data are collected for the aim of scientific study, and using these data, a hypothesis or principle is proposed.

c) Business Applied Statistics: In this discipline, statistical approaches are utilised to research, analyse, and solve diverse business problems.

Q.4 Give arguments for your scepticism of statistics.

The term "statistical mistrust" refers to a lack of faith in statistical claims and procedures. People frequently say, "Statistics can prove anything." "In the order of their name, there are three sorts of lying: falsehoods, damned lies, and statistics."

The primary grounds for such opinions are as follows:

a) Because figures are persuasive, people are readily persuaded to trust them.

b) Ignorance of statistical limitations.

c) Inadequate accuracy testing.

d) Data from real situations contradictory.

e) A lack of specialised capacity to provide acceptable and proper results.

f) Is readily manipulated.

Q.5 Explain the roles and significance/utility of statistics.

Statistical approaches are utilised in every discipline of research and knowledge, not only social, economic, and political science. In the age of rapidly growing information technology and worldwide contacts, statistical analysis has grown in importance.

"The proper role of statistics is to extend individual experiences," says Prof. Bowley.

The following are some of Statistics' most essential functions:

a) To offer numerical information.

b) To make complicated information easier to understand.

c) To broaden human understanding and experience.

d) Aids in policy formation.

e) As a point of reference.

f) To develop reciprocal relationships.

g) Aids predicting.

h) Examine the veracity of scientific hypotheses.

I) Extensive and thorough research.

Statistics are nearly always used to help people understand and solve problems.

Statistics is extremely beneficial in unknown domains of application and in difficult scenarios such as: -

a) Planning

b) Administration

c) Economics

d) Trade & Commerce

e) Production management

f) Quality control

g) Inspection

h) Insurance

i) Railways & Transport Companies

j) Banking Institutions

k) Speculation and Gambling

l) Underwriters and Investors

m) Politicians & Social Workers