MATH 225, Mathematics for Economics
Undergraduate
Economics and Management
Fall , 2015
Nigar Aslanova
nigar.aslanova@yahoo.com
Friday 09:00-11:50, Room 301NA
41 Mehseti street (Neftchilar campus), Khazar
University
Identification
Subject
Program
Department
Term
Instructor
E-mail
Classroom/hours
Prerequisites
Language
Compulsory/Elective
Text books and course
materials
Math 101 Calculus
English
Compulsory
Main Textbooks:
Ronald J. Harshbarger, James J. Reynolds, Mathematical Applications for
Management, Life, and Social Sciences, 1989.
Larry J.Goldstein, David C. Lay , Calculus and its Applications,
Pearson,2010
Frank S. Budnick, Applied Mathematics for Business, Economics, and
Social Sciences, Mc. Graw-Hill. INC. 1993.
Supplementary Textbooks:
Margaret L.Lial, Thomas W.Hungerford, Mathematics with Applications: in
the Management, Natural, and Social Sciences, 1999.
Ronald J. Harshbarger, Calculus with Applications, 1993.
Case analysis
x
Group discussion
Lab
x
Lecture
Course paper
x
Problem Solving
Presentation
Methods
Date/deadlines
Percentage(%)
25
Midterm Exam
Case studies
10
Class Participation
and activity
25
Quiz
Project
Presentation
Laboratory Work
40
Final Exam
Written Assignment
100
Total
This course allows the students to use mathematical methods in solving
different problems of economics and business; it develops the following
skills :ability to analyse the functions, to determine their continuity, finding
the derivatives of functions, determining their maximum and minimum
values, evaluating the integrals and using them in application problems,
solving simple optimization problems for functions of two or more variables.
A wide variety of problems from business can be solved by using
mathematical models. Equations and their graphs are used in studying costs,
sales, national consumption, or supply and demand. Numerous applications
of mathematics are given throughout the course.
By the end of the course the students should be able:
 Write linear models of consumption function, supply and demand
functions, total cost, total revenue and profit functions.
 Solve system of linear equations
 Evaluate the determinants
Teaching methods
Evaluation Criteria
Course objectives
Course outline
Learning outcomes





week
1
Date
17.09.2015
2
24.09.2015
3
01.10.2015
4
08.10.2015
5
15.10.2015
6
22.10.2015
7
8
29.10.2015
05.11.2015
9
12.11.2015
10
19.11.2015
11
12
26.11.2015
13
14
10.12.2015
15
24.12.2015
03.12.2015
17.12.2015
Find inverse of the matrix
Solve linear programming problems by corner point method and by
simplex method
Apply maxima and minima to business and economics
Apply derivatives in business and economics
Apply maxima and minima to business and economics
Tentative Schedule
Topics
Linear models. Linear equations and functions.
Graphing linear equations. Applications of
functions in business and economics. The
consumption function, supply and demand
functions, total cost, total revenue and profit
functions. Slope of a line; writing equations of
lines. Solutions of systems of linear equations.
Business applications. National consumption.
Market equilibrium. Break-even analysis.
Matrices. Dimension of a matrix. Transpose of a
matrix. Multiplication of matrices. Gauss-Jordan
Elimination: solving systems of equations.
Determinants. Properties of determinants.
Procedure for finding cofactor. Minor. Matrix of
cofactors. Method of cofactor expansion. Solving
the system of equations by Cramer’s Rule.
The inverse of a matrix. Determining the inverse
of matrix using Gaussian reduction procedure.
Finding the inverse using cofactors. Applications
of matrices: Leontief Input-Output Models.
Inequalities and linear programming. The
graphics of linear inequalities. Systems of linear
inequalities. Region of feasible solutions. Cornerpoint method for linear programming problem.
Nonlinear models. Quadratic equations. Quadratic
functions: parabolas. Business applications of
quadratic functions. Supply, demand and market
equilibrium. Break-even points and profit
maximization.
Midterm exam
Exponential
and
logarithmic
functions.
Applications: exponential growth and decay.
Economic and management applications.
Mathematics of finance. Simple interest;
sequences. Arithmetic sequences.
Compound interest; geometric sequences.
Derivatives. Applications of derivatives in
business and economics: marginal cost function,
marginal revenue function, marginal profit
function.
Relative maxima and minima. Curve sketching
Optimization in Business and economics.
Application of max and min.
Simplex method. Maximization
Simplex method. Minimization.
Revision and problem solving.
Final Exam
Textbook/Assignments
[1], p.50-110
[1], p.120-145
[1], p.368-381
Quiz 1
[1], p.149-165
[1], p.171-195
[1], p.229-256
Quiz 2
[1], p.257-283
[1], p.404-411
[1], p.412-421
[1], p.465-535
Quiz 3
[1], p.539-585
[1], p.724-744
[1], p.306-326
[1], p.326-345
Quiz 4