Chinhoyi University of Technology

School of Business Sciences and Management

Department of Business Management and Entrepreneurship

Academic Year

Course Title: Business Mathematics

Course Code: BMEB1205 (Proposed)

Course time allocation: 4 hours per week for Lectures and 1 hour weekly tutorials.

Instructor: Mr. S Makurumidze

Office: 07-11

Phone number: 0777 899413/0733 412 576

E-mail:

Consultation times: TBA

Recommended Textbooks

Title:Mathematics for Economics and Finance

Authors: Antony M. and Biggs N. (1996).

Edition: Fifth, Cambridge (England). Cambridge University Press

Title: Essential Mathematics for Economics and Business.

Authors: Bradley T. and Patton P. (1998).

Edition: Second, Chichester. John Wiley Sons.

Title:Fundamental Methods of Mathematical Economics

Author: Chiang A. C. (2005).

Edition: Fourth. McGraw-Hill International Editions. Singapore.

Title: Essential Mathematics for economics and Business

Author: Jacques I. (1992).

Edition: Wokingham (English). Addison-Wesley.

Title: Quantitative Methods for business Decisions

Author: Lapin L.L. (1987)

Edition: Second. Harcourt Brace Jovanovich. New York.

Title: Mathematics for Economics and Business.

Authors: Taylor R. and Hawkins S. (2008).

Edition: Fourth.London. McGraw Higher Education.

Title:Fundamental Methods of Mathematical Economics

Author: Wainwright C. (1984)

Edition: Second. Lisbon McGraw Hill.

Course synopsis

Business Mathematics BMEB1205

The course covers key mathematical concepts as applied in business management such as basic Algebra, matrices, arithmetic and geometric progression, Linear programming, Inventory Management models, Queuing models and Mathematics of Finance. The course will give students competence in these topics so that they are able to interpret and solve business word problems as well as developing simple mathematical models from a business perspective. The major emphasis is to improve the students’ quantitative skills necessary for making business decisions. At the end of the course, the students should be able to apply the mathematical concepts to solve business related problems in all areas of business management.

Learning Objectives

The key objectives of the course are:

  1. To provide mathematical concepts that have become indispensable for business decision making.
  2. To impart necessary skills of applying the mathematical concepts in business and administration issues.
  3. To provide a set of critical skills for analysis and assessment of business activities for decision making.

Learning Outcomes

  1. Work out some mathematical problems used in decision making.
  2. Apply the concepts in solving some business problems.
  3. Analyze and assess business activities and solving complex problems mathematically.

Course instruction

Lectures

Demonstrations

Discussions

Class exercises

Course Assessment

Coursework (5 tests) 30%

Final Examination 70%

TOTAL 100%

Course Coverage:

1.0Elements of Algebra

Real numbers

Coefficients, exponents and laws of exponents

Algebraic expressions

Factorization and expansions of polynomial expressions

2.0Linear Functions and applications

Solving simple and simultaneous equations

Translation of linear functions

Demand, supply, cost and revenue functions

Graphing equations to solve Cost – Volume – Profit analysis

Demand, supply and income elasticity

Budget and constraints

Equilibrium determination

3.0Non Linear Functions

Quadratic, cubic and other polynomial functions

Exponential functions

Logarithmic functions

4.0.Linear Programming

Linear Programming and business application

Linear inequalities to solve business problems (Calculating sales and profit targets)

Graphical & Simplex Method for Optimisation problems, construction & interpret

Two-dimensional linear programming.

5.0 Differentiation and Application

Slope of a curve and Differentiation

Application of marginal functions and average functions

Maximum and minimum points

Partial differentiation and application

6.0Integration and Application

Integration as opposite of differentiation

Definite Integral and area under a curve

Consumer and Producer surplus

7.0Matrices and Leontief input-output analysis

Matrix Operation, addition and multiplication of matrices

Determinants and inverse of an invertible matrix

Calculation of industrial production costs using matrix multiplication

Two- and three- industry input-output problems using matrix operations.

8.0Financial Mathematics

Principal, simple interest, compound interest and effective rate of interest

Multiple and Continuous compounding

Discounting

Future Value and Present Value, Annuities, amortization, sinking fund

9.0Break Even analysis

Cost revenue functions and the profit or loss

Computation and graphical analysis

10.0 Inventory Management

Simple inventory decisions

Multi period inventory management

EOQ model of inventory management

11.0 Queuing Theory

Structure of a queuing system

Exponential and Poisson processes

Single Server queuing model

Interpretation of queuing formulas

12.0 Network Planning

Concepts of PERT networks

Analysis of the PERT network

Project crashing

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