No Subject Details

1 Name of Course/Module : BUSINESS MATHEMATICS

2 Course Code : MAT 2013
3 Name(s) of academic staff : Faridah Hanum
4 Rationale for the inclusion of the course/module in the programme:
 This subject constitutes one of the core areas in business that graduates must have to qualify for the degree and
to be competent in their job.
 The subject incorporates the basic ideas on mathematical functions, number system and matrix for daily business
purposes.
5 Semester and Year offered : Year 2 , Semester 1
6 Face to Face Total Guided and
Others
Lecture Tutorial Practical Independent Learning
Total Student
Learning Time (SLT)
30 12 Nil Assessment = 78 120

7 Credit Value :3
8 Prerequisite (if any) : Nil
9 Learning outcomes:
After completing this course, students will be able to:
 Calculate different numbers system.
 Explain different mathematical functions and their relationship with number system.
 Explore the characteristics of linear mathematical properties.
 Develop strength in understanding matrix operation.
 Solve basic financial and economical problems using interest-rate related problems.
10 Transferable Skills:
Able to understand the difference between different number systems and mathematical functions and to produce graphs
from certain function, differentiate linear and non-linear systems, calculate future value, present value, interest rate and
maturity of any investment for different cash flows (i.e. annuities, perpetuities).
11 Teaching-learning and assessment strategy
Quizzes : 20%
(2 quizzes x 1 hour / test : 2hrs)
Midterm : 20%
(1 test x 2 hour / test : 2hrs)
Final Exam : 60%
(Short Answer and Long Answer Questions: 3hrs)
12 Synopsis
This subject stresses on understanding of basic mathematical ideas through their applications to business and economics
problems. Topics include solutions of equations/inequalities; various functions and their graphs; straight line, system of
linear equations and matrices, which can be used in day to day business transactions. Students will gain an exposure on
mathematics of merchandising, graphing and linear equations, break-even analysis, and simple and compound interest.
This course provides step-by-step guidance through sample problems and solutions related to banking, credit, basic
finance and investment. Students will also gain an understanding of financial instruments and terminology used in business
finance such as compound interest, annuities and promissory notes.
13 Mode of Delivery
Conventional face-to-face with an independent study and self-assessment component
14 Assessment Methods and Types
Quizzes : 20%
(2 quizzes x 1 hour / test : 2hrs)
Midterm : 20%
(1 test x 2 hour / test : 2hrs)
Final Exam : 60%
(Short Answer and Long Answer Questions: 3hrs)
15 Mapping of the course/module to the Programme Aims

Subject PO1 PO2 PO3 P04

BUSINESS MATHEMATICS √ √ √ -

16 Mapping of the course/module to the Programme Learning Outcomes

Learning Outcomes PLO1 PLO2 PLO3 PLO4 PLO5 PLO6 PLO7 PLO8 PLO9
Identify different number systems. √ √ √ - - - - - -
Understand different mathematical
functions and their relationship with √ √ √ - - - - - -
number system.
Explore the characteristics of linear
√ √ √ - - - - - -
mathematical properties.
Develop strength in understanding
√ √ √ - - - - - -
matrix operation.
Solve basic financial and economical
problems using interest-rate related √ √ √ √ √ √ √ - -
problems.

17 Content outline of the course/module and the SLT per topic

Topic Hour
Lecture Tutorial Practical SLT Total SLT
UNIT 1:
ARITHMETIC AND GEOMETRIC SEQUENCES
 Introduction
 Arithmetic sequence
 Nth term and sum of first n terms of an 2 1 6 9
arithmetic sequence
 Geometric sequence
 Nth term and sum of first n terms of a
geometric sequence
UNIT 2:
SIMPLE INTEREST
 Interest
 Simple interest formula
2 1 6 9
 Simple amount formula
 Four basic concepts
 Present value
 Equation of value
UNIT 3:
COMPOUND INTEREST
 Compound interest
2 1 8 11
 Some important terms
 Compound interest formula
 Effective, nominal and equivalent rate
UNIT 4: 4 1 6 11
ANNUITY
 Future Value of an ordinary annuity
certain
 Present Value of an ordinary annuity
certain
 Solving for R, n and i
 Amortisation and Amortisation schedule
 Sinking fund
 Annuity with continuous compounding
UNIT 5:
TRADE AND CASH DISCOUNTS
 Formula For Calculating Net Price
 Chain Discount
 Formula For Calculating The Net Price
For A Chain Discount
2 1 6 9
 Single Discount Equivalent
 Cash Discount
 Borrowing To Take Advantage Of The
Cash Discount
 Partial Payment Of Invoice
 Trade And Cash Discount
UNIT 6:
MARK-UP AND MARKDOWN
 Mark-up
 Mark-up per cent 2 1 6 9
 Conversion of mark-up per cent
 Markdown
 Profit and loss
UNIT 7:
PROMISSORY NOTES
 Promissory notes
 Bank discount 4 1 8 13
 Simple interest rate equivalent to bank
discount rate
 Discounting promissory notes
UNIT 8: 2 1 6 9
INSTALMENT PURCHASES
 Interest Charge Based On Original
Balance
 Interest charge based on reducing
balance
 Unequal installment payments and
repayment schedules
UNIT 9:
DEPRECIATION
 Depreciation
 Terms related to depreciation 2 1 6 9
 Straight line method
 Declining balance method
 Sum-of-year digits method
UNIT 10
PERSONAL INCOME TAXATION
 Compounding income tax
 Classification of incomes
 Deductions
 Royalty, gratuity, golden handshake 2 1 6 9
income and pensions
 Rental income
 Tax rate schedule for personal income
 Tax rebates
 Summary of income tax assessment
UNIT 11:
CALCULUS
 Differentiation
 Rule of differentiation
 Higher orders of differentiation
4 1 8 13
 Applications of derivatives
 Critical points
 Integration
 Applications of calculus in economics and
business
UNIT 12:
DIFFERENTIAL EQUATION
 Slope of a curve and differentiation 2 1 6 9
 Application of differentiation
 Application of partial differentiation
ASSESSMENT METHODS AND TYPES
Quizzes : 20%
(2 quizzes x 2 hour / test : 2hrs)
Midterm : 20%
(1 test x 2 hour / test : 2hrs)
Final Exam : 60%
(Short Answer and Long Answer Questions: 3hrs)
 Total 30 12 - 78 120
Total credit hour 3
18 Main reference:
 Kya,L.T., Ngor, P.Y., Kiang, W.K. (2012). Business Mathematics (2nd ed.): Oxford Fajar.

Additional reference:
 Clendenen, G., Miller, C. D., & Salzman, S. A. (2011). Business Mathematics (12 ed.): Pearson Education,
Limited.
 Edgerton, E., & Bartholomew, W. E. (2010). Business Mathematics; A Textbook for Schools (reprint ed.): Nabu
Press.
 Trivedi, K. T. C. (2011). Business Mathematics: Pearson Education.
19 Other additional information: Nil