Wollega University

College of Business and Economics

Department of Management

Course Title Mathematics for Management

Course Code
ECTS credit points 5
Student workload Lecture Discussion Assignment Home Study Tutorial Assessment Total
50 10 20 45 27 10 162
Course Objectives The course enables students to have an understanding on:
and Competences to  Differentiate the various techniques of mathematics that can be employed in solving
be Acquired business problems.
 Know the way these mathematical techniques are utilized.
 Appreciate the importance of mathematics in solving real world business problems.
 Use different mathematical techniques for supporting managerial decisions.
Course This course is designed to expose management students to the basic concepts and area of
Description/Course managerial application of mathematics. Topics include: linear equations and their applications,
Contents matrix algebra and its applications, Markov chain analysis and input output analysis, linear
programming, mathematics of finance, elements and application of calculus.
Status of the Core
Course
Week Topics and Sub Topics Course Objectives and Competences to be Acquired
Week 1,2&3 UNIT1 After completing this unit, students will be able to:
LINEAR EQUATIONS AND THEIR  Differentiate the various techniques of mathematics
INTERPRETATIVE APPLICATIONS:
that can be employed in solving business problems.
 Linear Equations, Functions and Graphs
 Characteristic of linear equations  Know the way these mathematical techniques are
 Linear Cost Output Relationship, utilized
Variable Cost, Fixed Cost, Total Cost,  Appreciate the importance of mathematics in
Average Cost, Marginal cost, Total solving real world business problems.
Revenue, and Total Profit  Use different mathematical techniques for
 Break Even Analysis: Model and supporting managerial decisions.
Solutions
 Market Equilibrium Analysis
 Variable Cost, Fixed Cost, Total Cost,
Average Cost, Marginal cost, Total
Revenue, and Total Profit
Week 4,5&6 UNIT 2 After completing this unit, students will be able to:
MATRIX ALGEBRA AND ITS APPLICATION
 The concepts of matrix  Discuss the concepts of matrix
 Dimensions and Types of Matrix  Identify Dimensions and Types of Matrix
 Matrix Operations and Techniques  Perform Matrix Operations and Techniques
 Inverse of a Matrix  Compute Inverse of a Matrix
 Matrix Applications  Explain Matrix Applications
 Systems of Linear Equations  Solving Systems of Linear Equations
 Markov Chains: Concepts, Models  Discuss Markov Chains: Concepts, Models
and Solutions and Solutions.

1
Week 7,8&9 UNIT 3 At the end of this unit, students will be able to:
INTRODUCTION TO LINEAR PROGRAMMING  Discuss concepts of linear programming
 Concepts of linear programming  Formulate Linear Programming Models
 Linear Programming Models  Solve maximization and minimization
 Maximization and minimization problems using graphic method.
problems using graphic method.
Week UNIT 4  At the end of this chapter students will be able to:
10,11&12 MATHEMATICS OF FINANCE
 Simple Interest and Discount  Explain Simple Interest and Discount
 Simple Interest  Computing Simple Interest
 Promissory Notes and Bank  Discuss Promissory Notes and Bank Discount
Discount  Compute Compound Interest, Compound Amount
 Compound Interest, Compound (Maturity Value), and Present Value (Principal) of
Amount (Maturity Value), and Compound Amount
Present Value (Principal) of  Calculate Nominal and Effective Interest Rate
Compound Amount  Compute Ordinary Annuities, Sum of Ordinary
 Nominal and Effective Interest Rate Annuity, Sinking Fund Payments, Present Value of
 Ordinary Annuities, Sum of Ordinary.
Ordinary Annuity, Sinking Fund  Annuity, Amortization, and Mortgage Payments
Payments, Present Value of Ordinary
Annuity, Amortization, and
Mortgage Payments.
Week UNIT 5 At the end of this unit students will be able to:
13,14,15&16 ELEMENTS AND APPLICATIONS OF
CALCULUS  Explain the concept and rules of
 The concept and rules of differentiation differentiation
 Discuss derivatives  Discuss derivatives
 Business application of differential  Explain the business application of
calculus differential calculus
 Concepts, definite and indefinite  Discuss the concepts, definite and indefinite
integration integration
 Business application of integral  Explain the business application of integral
calculus calculus
Reference:  Bowen Earl K et. Al, Mathematics with applications in Business and Economics, 1987
 Barnett Raymond A. and Ziegler Michael R, Essentials of College Mathematics for
business and Economics, life science and social science, 3rd ed., 1989
 Ann j. Hughes, Applied Mathematics: For Business, Economics, and the social
Science, 1983.
 Ronald E. Larson and Bruce H. Edwards, Finite Mathematics with Calculus, 1991
 Ronald J. Harshbager and James J. Reynolds, Mathematics Applications.
 Ronald J. Harshbager and James J. Reynolds, Finite Mathematics, 3rd Ed.
 HolePoul G., Finite Mathematics and Calculus with Applications to Business, 1974.
 Dexter j Booth and John K Turner, Business mathematics with Statistics, 1996,
 Teresa Bradley and Paul Patton, “Essential Mathematics for Economics and
Business’, Jon Wiley and Sons, December 1999.
Assessment
Arrangement As per the guidelines of the University