Business Mathematics & Statistics (MTH 302) Lecture 1 PDF

Business Mathematics & Statistics (MTH 302) MTH 302 LECTURE 1 COURSE OVERVIEW 1 COURSE TITLE The title of this course is “BUSINESS MATHEMATICS AND STATISTICS”. 2 Instructor’...

Business Mathematics & Statistics (MTH 302) MTH 302 LECTURE 1 COURSE OVERVIEW 1 COURSE TITLE The title of this course is “BUSINESS MATHEMATICS AND STATISTICS”. 2 Instructor’s Resume The instructor of the course is Dr. Zahir Fikri who holds a Ph.D. in Electric Power Systems Engineering from the Royal Institute of Technology, Stockholm, Sweden. The title of Dr. Fikri’s thesis was “Statistical Load Forecasting for Distribution Network Planning”. 3 Objective The purpose of the course is to provide the student with a mathematical basis for personal and business financial decisions through eight instructional modules. The course stresses business applications using arithmetic, algebra, and ratio- proportion and graphing. Applications include payroll, cost-volume-profit analysis and merchandising mathematics. The course also includes Statistical Representation of Data, Correlation, Time Series and Exponential Smoothing, Elementary Probability and Probability Distributions. This course stresses logical reasoning and problem solving skills. Access to Microsoft Excel software is required for the course. 4 Course Outcomes Successful completion of this course will enable the student to: 1. Apply arithmetic and algebraic skills to everyday business problems. 2. Use ratio, proportion and percent in the solution of business problems. 3. Solve business problems involving commercial discount, markup and markdown. 4. Solve systems of linear equations graphically and algebraically and apply to cost volume-profit analysis. 5. Apply Statistical Representation of Data, Correlation, Time Series and Exponential Smoothing methods in business decision making 6. Use elementary probability theory and knowledge about probability distributions in developing profitable business strategies. 5 Unit Outcomes Resources/Tests/Assignments Successful completion of the following units will enable the student to apply mathematical methods to business problems solving. Page 1 of 11 © Copyright Virtual University of Pakistan Business Mathematics & Statistics (MTH 302) 6 Required Student Resources (Including textbooks and workbooks) Text: Selected books on Business Mathematics and Statistics. 7 Optional Resources Handouts supplied by the professor. Instructor’s Slides Online or CD based learning materials. 8 Prerequisites The students are not required to have any mathematical skills. Basic knowledge of Microsoft Excel will be an advantage but not a requirement. 9 Evaluation In order to successfully complete this course, the student is required to meet the following evaluation criteria: Full participation is expected for this course All assignments must be completed by the closing date. Overall grade will be based on VU existing Grading Rules. All requirements must be met in order to pass the course. 10 COURSE MODULES The following are the main modules of this course: Module 1 Overview (Lecture 1) Perform arithmetic operations in their proper order (Lecture 2) Convert fractions their percent and decimal equivalents. (Lecture 2) Solve for any one of percent, portion or base, given the other two quantities. (Lecture 2) Using Microsoft Excel (Lecture 2) Calculate the gross earnings of employees paid a salary, an hourly wage or commissions. (Lecture 3) Calculate the simple average or weighted average given a set of values. (Lecture 4) Perform basic calculations of the percentages, averages, commission, brokerage and discount (Lecture 5) Simple and compound interest (Lecture 6) Average due date, interest on drawings and calendar (Lecture 6) Module 2 Exponents and radicals (Lecture 7) Solve linear equations in one variable (Lecture 7) Rearrange formulas to solve for any of its contained variables (Lecture 7) Solve problems involving a series of compounding percent changes (Lecture 8) Calculate returns from investments (Lecture 8) Calculate a single percent change equivalent to a series of percent changes (Lecture 8) Matrices ( Lecture 9) Ratios and Proportions ( Lecture10) Set up and manipulate ratios ( Lecture11) Page 2 of 11 © Copyright Virtual University of Pakistan Business Mathematics & Statistics (MTH 302) Allocate an amount on a prorata basis using proportions ( Lecture11) Assignment Module 1-2 Module 3 Discounts ( Lectures 12) Mathematics of Merchandising ( Lectures 13-16) Module 4 Applications of Linear Equations ( Lecture 17-18) Break-even Analysis ( Lecture 19-22) Assignment Module 3-4 Mid-Term Examination Module 5 Statistical data ( Lectures 23) Measures of central tendency ( Lectures 24-25) Measures of dispersion and skewness ( Lectures 26-27) Module 6 Correlation ( Lectures 28-29) Line Fitting (Lectures 30-31) Time Series and Exponential Smoothing ( Lectures 31-33) Assignment Module 5-6 Module 7 Factorials ( Lecture 34) Permutations and Combinations ( Lecture 34) Elementary Probability ( Lectures 35-36) Patterns of probability: Binomial, Poisson and Normal Distributions ( Lecture 37-40) Module 8  Estimating from Samples: Inference ( Lectures 41-42)  Hypothesis testing : Chi-Square Distribution ( Lectures 43-44) Planning Production Levels: Linear Programming (Lecture 45)  Assignment Module 7-8  End-Term Examination Note: The course modules are subject to change. 11 MARKING SCHEME Page 3 of 11 © Copyright Virtual University of Pakistan Business Mathematics & Statistics (MTH 302) As per VU Rules. 12 DESCRIPTION OF TOPICS LECTURE RECOMMENDED NO. MAIN TOPIC TOPICS READING 1 1.0 Applications Module  Overviewew (Lecture 1) Reference 1 of Basic 1 Mathematics ( Lectures 1-6) 2  Course Overview Reference 2, Module  Arithmetic Operations & Lecture 2 1 Tool: Microsoft  Using Microsoft Excel Excel 3  Calculate Gross Earnings Reference 2, Module Lecture 3 1  Using Microsoft Excel Tool: Microsoft Excel 4  Calculating simple or Reference 2, weighted averages Lecture 4 Module Tool: Microsoft 1  Using Microsoft Excel Excel Reference 6 5  Basic calculations of Reference 2, percentages, averages, Lecture 5 Module commission, brokerage and Reference 3, Ch 3 1 discount using Tool: Microsoft Excel  Microsoft Excel 6  Simple and compound Reference 2, interest Lecture 6 Module Reference 3, Ch 3 1  Average due date, interest on drawings and calendar Tool: Microsoft Excel Page 4 of 11 © Copyright Virtual University of Pakistan Business Mathematics & Statistics (MTH 302) 7  Exponents and radicals  Simplify algebraic Reference 2, 2.0 Applications expressions Lecture 7 Module of Basic Algebra  Solve linear equations in Reference 3, Ch 2 2 one variable Tool: Microsoft ( Lectures 7-9)  Rearrange formulas to Excel solve for any of its contained variables 8  Calculate returns from investments  Problems involving a series of Reference 2, compounding percent Lecture 8 changes Reference 3, Ch 3  Single percent change equivalent Tool: Microsoft to a series of percent Excel changes  9 Reference 2, Lecture 9 Reference 3, Ch 4  Matrices Tool: Microsoft Excel 10  Set up and manipulate ratios.  Set up and solve Reference 2, 3.0 Applications proportions. Lecture 10 of Ratio and  Express percent Reference 3, Ch 3 Module Proportion differences using 2 proportions. ( Lectures 10-11)  Allocate an amount on a Tool: Microsoft prorata basis using Excel proportions. 11 Reference 2,  Set up and manipulate Lecture 11 ratios. Module Reference 3, Ch 3  Allocate an amount on a 2 Tool: Microsoft prorata basis using Excel proportions Module 12  Calculate the net price of Reference 2, 3 an item after single or Lecture 12 4.0 multiple trade discounts. Reference 3, Ch 3 Merchandising  Calculate an equivalent and Financial single discount rate given a Tool: Microsoft Mathematics series of discounts. Excel Page 5 of 11 © Copyright Virtual University of Pakistan Business Mathematics & Statistics (MTH 302) ( Lectures 12-16) 13 Reference 2, Lecture 13  Solve merchandising Module Reference 3, Ch 3 pricing problems involving 3 Tool: Microsoft markup and markdown. Excel 14 Reference 2, Lecture 14 Reference 3, Ch 3 Module  Financial Mathematics Part Reference 5, Ch 3 1 16 Tool: Microsoft Excel 15 Reference 2, Lecture 15 Reference 3, Ch 3  Financial Mathematics Part Reference 5, Ch Module 2 16 3 Tool: Microsoft Excel 16 Reference 2, Lecture 16 Reference 3, Ch 3 Module  Financial Mathematics Part Reference 5, Ch 3 3 16 Tool: Microsoft Excel 17 Reference 2, Lecture 17 5.0 Break-Even Reference 3, Ch 3 Module Analysis  Graph a linear equation in Reference 5, Ch 4 two variables. 16 & 18 ( Lectures 17-22) Tool: Microsoft Excel 18 Reference 2, Lecture 18  Solve two linear equations Reference 3, Ch 2 Module with two unknowns Reference 5, Ch 1 4 Tool: Microsoft Excel Module 19  Perform linear cost-volume Reference 2, Page 6 of 11 © Copyright Virtual University of Pakistan Business Mathematics & Statistics (MTH 302) profit and break-even Lecture 19 analysis. 4 Tool: Microsoft  Using a break-even chart Excel 20  Perform linear cost-volume profit and break-even Reference 2, analysis. Module Lecture 20  Using the algebraic 4 Tool: Microsoft approach of solving the Excel cost and revenue functions 21  Perform linear cost-volume profit and break-even Reference 2, Module analysis. Lecture 21 4  Using the contribution Tool: Microsoft margin approach Excel 22  Perform linear cost-volume profit and break-even Reference 2, Module analysis. Lecture 22 4  Using Microsoft Excel Tool: Microsoft  Assignment Module 3-4 Excel  Mid-Term Examination 23 Reference 2, 6. Statistical Lecture 23 Representation Module  Statistical Data Reference 5, Ch of Data 5 5 ( Lectures 23-27) Tool: Microsoft Excel 24 Reference 2, Lecture 24  Statistical Representation Reference 4, Ch Measures of Central Module 3 Tendency 5 Reference 5, Ch Part 1 6 Tool: Microsoft Excel 25 Reference 2, Lecture 25  Statistical Representation Reference 4, Ch  Measures of Central Module 3 Tendency 5 Reference 5, Ch Part 2 6 Tool: Microsoft Excel Module 26  Measures of Dispersion Reference 2, 5 and Skewness Lecture 26 Part 1 Reference 4, Ch 4 Reference 5, Ch Page 7 of 11 © Copyright Virtual University of Pakistan Business Mathematics & Statistics (MTH 302) 6 Tool: Microsoft Excel 27 Reference 2, Lecture 27 Reference 4, Ch 4  Measures of Dispersion Reference 5, Ch Module and Skewness 6 5 Part 2 Tool: Microsoft Excel 28 Reference 2, 7. Correlation, Lecture 28 Time Series and  Correlation Reference 5, Ch Module Exponential Part 1 13 6 Smoothing  ( Lectures 28-33) Tool: Microsoft Excel 29 Reference 2, Lecture 29 Reference 5, Ch  Correlation 13 Part 2 Tool: Microsoft Excel 30 Reference 2, Lecture 30 Reference 5, Ch  Line Fitting 14 Part 1 Tool: Microsoft Excel 31 Reference 2,  Line Fitting Lecture 31 Part 2 Tool: Microsoft Excel 32 Reference 2, Lecture 32  Time Series and Reference 5, Ch  Exponential Smoothing 15 Part 1 Tool: Microsoft Excel 33  Time Series and Reference 2, Page 8 of 11 © Copyright Virtual University of Pakistan Business Mathematics & Statistics (MTH 302) Lecture 33 Reference 5, Ch  Exponential Smoothing 15 Part 2  Assignment Module 5-6 Tool: Microsoft Excel 34 Reference 2, Lecture 34 7. Elementary Reference 3, Ch  Factorials Module Probability 2  Permutations and 7 ( Lectures 34-38) Combinations Tool: Microsoft Excel 35 Reference 2, Lecture 35 Reference 5, Ch  Elementary Probability Module 8 Part 1 7 Tool: Microsoft Excel 36 Reference 2, Lecture 36 Reference 5, Ch  Elementary Probability Module 8 Part 2 7 Tool: Microsoft Excel 37 Reference 2,  Patterns of probability: Lecture 39 Binomial, Poisson and Reference 5, Ch Module Normal Distributions 9 7 Part 1 Tool: Microsoft Excel 38 Reference 2, Lecture 40  Patterns of probability: Reference 5, Ch Binomial, Poisson and Module 9 Normal Distributions 7 Tool: Microsoft Part 2 Excel Module 39  Patterns of probability: Reference 2, 7 Binomial, Poisson and Lecture 41 Normal Distributions Reference 5, Ch Part 3 9 Page 9 of 11 © Copyright Virtual University of Pakistan Business Mathematics & Statistics (MTH 302) Tool: Microsoft Excel 40 Reference 2,  Patterns of probability: Lecture 41 Binomial, Poisson and Reference 5, Ch Module Normal Distributions 9 7 Part 4 Tool: Microsoft Excel 8. Probability 41 Reference 2, Distributions Lecture 42  Estimating from Samples: ( Lectures 39-44) Reference 5, Ch Module Inference 9. Linear 10 8 Part 1 Programming (Lecture 45) Tool: Microsoft Excel 42 Reference 2, Lecture 43  Estimating from Samples: Reference 5, Ch Module Inference 10 8 Part 2 Tool: Microsoft Excel 43 Reference 2, Lecture 44 Reference 5, Ch Module  Hypothesis testing : Chi- 11 8 Square Distribution Part 1 Tool: Microsoft Excel 44 Reference 2, Lecture 45  Hypothesis testing : Chi- Module Reference 5, Ch Square Distribution Part 2 8 11 Tool: Microsoft Excel 45 Reference 2,  Production Planning: Lecture 45 Linear Programming Module Reference 5, Ch  Assignment Module 7-8 8 18  End Term Examination Tool: Microsoft Excel 13 Methodology There will be 45 lectures each of 50 minutes duration as indicated above. The lectures will be delivered in a mixture of Urdu and English. The lectures will be heavily supported by slide presentations. The slides for a lecture will be made available on the VU website Page 10 of 11 © Copyright Virtual University of Pakistan Business Mathematics & Statistics (MTH 302) for the course a few days before the actual lecture is televised. This will allow students to carry out preparatory reading before the lecture. The course will be provided its own page on the VU’s web site. This will be used to provide lecture and other supporting material from the course to the students. The page will have a link to a web-based discussion and bulletin board for the students. Teaching assistants will be assigned by VU to provide various forms of assistance such as grading, answering questions posted by students and preparation of slides. 14 Grading There will be a term exam and one final examination. There will also be 4 assignments each covering two modules. The final exam will be comprehensive. These will contribute the following percentages to the final grade: Mid Term Exam 35% Final 50% 4 Assignments 15% 15 Text and Reference Material The course is based on material from different sources. Topics for reading will be indicated on course web site and in professor’s handouts, also to be posted on the course web site. A list of reference books will also be posted and updated on the course web site. The following material will be used by the students as reference: Reference 1: Course Outline 2: Instructor’s Power Point Slides 3: Business Mathematics & Statistics by Prof. Miraj Din Mirza 4: Elements of statistics & Probability by Shahid Jamal 5: Quantitative Approaches in Business studies by Clare Morris 6: Microsoft Excel Help File 16 Schedule of Lectures Given above is the tentative schedule of topics to be covered. Minor changes may occur but these will be announced well in advanc Page 11 of 11 © Copyright Virtual University of Pakistan