Business Mathematics

Faculty

Faculty of Business Management and Social Sciences

Version

Version 1 of 06.12.2023.

Module identifier

22B0923

Module level

Bachelor

Language of instruction

English

ECTS credit points and grading

5.0

Module frequency

only winterterm

Duration

1 semester

 

 

Brief description

This module applies important formal and quantitative methods from Business Mathematics to Topics from Economics.

Teaching and learning outcomes

1. Financial mathematics 1.1 Successions and series 1.2 Compound computation of interest 1.3 Annuity computation 1.4 Amortisation computation 1.5 Leasing 2. Differential calculus I 2.1 Introduction 2.2 Determination of extreme values 2.3 Economic applications 2.3.1 Profit maximisation 2.3.2 Law of diminishing returns 2.3.3 Least cost combination 2.3.4 Production maximisation 2.3.5 Cost functions 2.3.6 Economic order quantity 2.4 Elasticities 3. Differential calculus II 3.1 Partial derivatives 3.2 Partial elasticities 3.2 Homogeneity 3.3 Cobb-Douglas production functions 3.3 Restrictive extreme values 3.3.1 Lagrangian method 3.3.2 Economic applications 4. Linear algebra 4.1 Linear system of equations 4.2 Economic applications 4.2.1 Markov chains 4.2.2 Input-output analysis 4.2.3 Multi-stage production processes 5. An aside: Linear optimisation 5.1 Setting the task 5.2 Simplex algorithm 5.3.A selected problem from discrete optimisation

Overall workload

The total workload for the module is 150 hours (see also "ECTS credit points and grading").

Teaching and learning methods
Lecturer based learning
Hours of workloadType of teachingMedia implementationConcretization
30SeminarPresence-
30PracticePresence-
Lecturer independent learning
Hours of workloadType of teachingMedia implementationConcretization
30Exam preparation-
35Preparation/follow-up for course work-
25Study of literature-
Graded examination
  • Written examination or
  • Portfolio exam or
  • Portfolio exam
Remark on the assessment methods

The portfolio exam-1 covers 100 points and consists of one written paper (HA) and a one-hour written examination (K1). The written paper and the examination are weighted by 50 points each.

The portfolio exam-2 covers 100 points and consist of one written project report (PSC) and a one-hour written examination (K1). The project report and the examination are weighted by 50 points each.

Recommended prior knowledge

Passed placement test or preparatory course mathematics (arithmetic, algebra, differential calculus)

Knowledge Broadening

Students who successfully complete this module are able to handle economic functions analytically, offer solutions for economic extreme values with and without auxiliary condition with the assistance of differential calculus and set up linear equation systems based on economic issues.

Literature

(1) Pemberton, M.: Mathematics for economists: an introductory textbook. University of Toronto Press, 2011. (2) Renshaw, G.: Maths for economics. Oxford University Press, 2012. (3) Francis, A.: Business Mathematics and Statistics, Cengage Learning; UK ed. Edition, 2014 (4) Rebaza, J.: A first course in applied mathematics. John Wiley & Sons, 2021

Linkage to other modules

The module focuses on the mathematical elements from functions and algebra, which are applied accross all areas of economics, which work empirically. Moreover, the analytic and algebraic topics are a foundation of expressing laws and hypotheses accross all areas of economics, which work with data.

Applicability in study programs

  • International Business and Management
    • International Business and Management, B.A.

  • Business Management in the Health Sector
    • Business Management in the Health Sector, B.A.

  • International Management
    • International Management, B.A.

  • Business Administration and Management
    • Business Administration and Management, B.A.

    Person responsible for the module
    • Faatz, Andreas
    Teachers
    • Faatz, Andreas
    • Unknown person