Business Economics | CRACKER is a comprehensive study companion for CA Foundation students preparing for Paper 4 – Business Economics. This Edition is fully updated, featuring previous exam papers (including May 2025) with solutions, model questions, RTPs/MTPs issued by the ICAI, and a detailed chapter-wise marks distribution analysis.

The Present Publication is the 14^th Edition for the Sept. 2025/ Jan. 2026 Exams. This book is authored by Dr Ritu Gupta, with the following noteworthy features:

• [Extensive Past Exam Coverage] Thoroughly covers previous years’ questions, including those from May 2025
• [Additional Practice] Offers extra sets of questions curated for upcoming exam attempts
• [RTPs & MTPs Included] Provides practice material drawn from ICAI’s Revision Test Papers and Mock Test Papers
• [Chapter-wise Marks Distribution] A detailed table exhibiting the frequency of marks across chapters from past exams
• [Mapping with ICAI Study Material] Each chapter directly corresponds to ICAI study modules
• [Focus on Newly Introduced Topics] Highlights crucial new chapters such as National Income, Public Finance, Money Market, International Trade, and Indian Economy
• [Student-friendly Language] Written in a lucid and engaging style, clarifying concepts step by step without overwhelming jargon
• [Perfect for Self-Study & Coaching] The clear, concise explanations make it equally suited for self-study students and those enrolled in coaching institutes
• [Updates & Amendments] All recent changes in the syllabus or ICAI guidelines have been factored in
• [Confidence Booster] By integrating conceptual clarity with extensive practice, this book helps reduce exam anxiety and boosts performance

The coverage of the book is as follows:

• Nature & Scope of Business Economics
  • Fundamentals, definitions, and introductory concepts set the stage for more advanced topics
• Theory of Demand & Supply
  • Demand analysis, elasticity, supply concepts, and market equilibrium scenarios
• Theory of Production & Cost
  • Production functions, short- and long-run costs, economies of scale, and related analytical tools
• Price Determination in Different Markets
  • Perfect competition, monopoly, monopolistic competition, and oligopoly; price-output determinations in varying market structures
• Business Cycles
  • Phases and indicators of business cycles, causes, and policy measures
• Determination of National Income
  • Essential macroeconomic measures, GDP calculations, and their significance in policy-making (Newly added to the CA Foundation syllabus)
• Public Finance
  • Introduction to government revenues, expenditures, and the fundamentals of fiscal policy (Newly added chapter)
• Money Market
  • The role and functions of money, banking systems, and monetary policy instruments (Newly added chapter)
• International Trade
  • Basics of foreign trade, balance of payments, and trade policies (Newly added chapter)
• Indian Economy
  • An overview of economic reforms, growth parameters, and the socio-economic environment in India (Newly added chapter)

The structure of the book is as follows:

• Chapter-wise Segmentation – Every chapter begins with an overview of its key concepts to help you grasp foundational ideas quickly
• Progressive Difficulty – Questions escalate from basic conceptual checks to advanced analytical problems, reinforcing learning as you progress
• Exam-oriented Approach – Past Exam Questions are distinctly labelled, and every chapter includes targeted practice sections
• Revision-friendly Layout – Summaries, key points, and periodic ‘quick tips’ sections streamline your revision and boost retention
• Additional References
  • Chapter-wise Marks Distribution, in the beginning, aiding in prioritising high-weightage areas
  • Comparison with ICAI Study Material ensures comprehensive coverage of the prescribed syllabus
  • Complete Solved Papers are separately included for exam simulation and practice.