Managerial Economics - 12384 Words

|Managerial Economics | | | |UNIT -I | | | |[Pick the date] | | | | | Concept of Managerial Economics The discipline of†¦show more content†¦- Spencer and Siegelman: concerned with application of the economic concepts and economic analysis to the problems of formulating rational managerial decision. - Edwin Mansfield SCOPE OF MANAGERIAL ECONOMICS The scope of managerial economics includes following subjects: 1. Theory of demand 2. Theory of production 3. Theory of exchange or price theory 4. Theory of profit 5. Theory of capital and investment 6. Environmental issues, which are enumerated as follows: 1. Theory of Demand: According to Spencer and Siegelman, â€Å"A business firm is an economic organisation which transforms productivity sources into goods that are to be sold in a market†. a. Demand analysis: Analysis of demand is undertaken to forecast demand, which is a fundamental component in managerial decision-making. Demand forecasting is of importance because an estimate of future sales is a primer for preparing production schedule and employing productive resources. Demand analysis helps the management in identifying factors that influence the demand for the products of a firm. Thus, demand analysis and forecasting is of prime importance to business planning. b. Demand theory: Demand theory relates to the study of consumer behaviour. It addresses questions such as what incites a consumer to buy a particularShow MoreRelatedManagerial Questions On Managerial Economics1736 Words   |  7 Pages MANAGERIAL ECONOMICS MANDIP SINGH SETHI K1300050 TABLE OF CONTENTS INTRODUCTION†¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦..3 TYPES OF DISECONOMIES†¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦.5 DECENTRALIZATION†¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦6 CONCLUSION†¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦..7 REFERENCE†¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦.8 What are managerial diseconomies of scale and what, if anything, can be done about this phenomenon? DecreasingRead MoreManagerial Economics1517 Words   |  7 Pagestickets. Rachel Green, manager for the Sherman Oaks office, has been asked to recommend an appropriate level of advertising. In thinking about this problem, Green noted its resemblance to the optimal resource employment problem studied in a managerial economics course. The advertising/sales relation could be thought of as a production function, with advertising as an input and sales as the output. The problem is to determine the profit-maximizing level of employment for the input, advertising, inRead MoreManagerial Economics4591 Words   |  19 PagesMB0042 - Managerial Economics ASSIGNMENT SET I: Ans.1. The price elasticity of demand is not the same for all commodities. It may be or low depending upon number of factors. The factors which influence price elasticity of demand, in brief, are as under:   Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚   (i) Nature   of Commodities. In developing countries of the world, the per capital income of the people is generally low. They spend a greater amount of their income on the purchaseRead MoreManagerial Economics1932 Words   |  8 PagesMBA 5600 Managerial Economics Assignment #1 1. What impact will the prospect of deprivatization have on investment by managers of privatized firms? The impact will be: - Loosing corporate focus; - Missing planned CEO turnover; - Affecting planned managerial objects and strategic efficiency Obviously, normal managers invest in long-term projects, products and services, deprivatization may come up with a different strategy that not aligned with corporate goals and its profit will probablyRead MoreManagerial Economics2909 Words   |  12 PagesSEMESTER 2014 MANAGERIAL ECONOMICS – BMME5103 ASSIGNMENT (60%) Name: NGUYá »â€žN THá »Å  MINH HIá »â‚¬N Class: MBAOUM0514-K14A Question 1 a. What is (are) the main difference(s) between a monopolistically competitive market and a monopoly market? Their characteristics are different: |Monopolistically competitive market |Monopoly market | |Large number of small firms: Read MoreManagerial Economics Assignment952 Words   |  4 PagesMS- 09: MANAGERIAL ECONOMICS ASSIGNMENT Course Code : MS- 09 Course Title : Managerial Economics Assignment Code : 9/TMA/SEM-II/2010 Coverage : All Blocks Attempt All the Questions. â€Å"A close relationship between management and economics has led to the development of managerial economics.† Explain this statement. BOOK NO 1 PAGE NO. 7 Managerial Economics consists of the use of economic modes of thought to analyse business situation Spencer and Siegelman haveRead MoreManagerial Economics ( Bus529ah1 )1154 Words   |  5 Pages Managerial Economics (BUS529AH1) Final Exam Question 1. (a). Marginal Revenue (MR) is the adjustment altogether income because of a unit change in amount. So also Marginal cost (MC) is the additional cost of producing a unit. These two ideas are extremely helpful in ideal designation of assets. Assets will mean all variables of creation utilized as a partRead MoreEssay on Managerial Economics679 Words   |  3 PagesGus Bonilla MBA 217 Managerial Economics Individual Assignment 2) A firm’s product sells for $2 per unit in a highly competitive market. The firm produces output using capital (which it rents at $75 per hour) and labor (which is paid a wage of $15 per hour under a contract for 20 hours of labor services). Complete the following table and use that information to answer the questions that follow. K | L | O | MPK | APK | APL | VMPK | 0 | 20 | 0 | - | - | - | - | 1 | 20 | 50 | 50 | 50Read MoreManagerial Economics Essay5339 Words   |  22 PagesManagerial Economics: A Problem-Solving Approach 2nd Edition End-of-Chapter Questions and Answers Table of Contents Chapters 1 and 2 - Introduction and The One Lesson of Business 5 Multiple Choice Questions 5 Multiple Choice Key 5 Short Answer Questions 6 Short Answer Key 6 Chapter 3 - Benefits, Costs, and Decisions 8 Multiple Choice Questions 8 Multiple Choice Key 8 Short Answer Questions 9 Short Answer Key 10 Chapter 4 - Extent (How Much) DecisionsRead MoreManagerial Economics and Globalization997 Words   |  4 PagesECO 550: Managerial Economics and Globalization Assignment 3 Instructor: Dr. A. A. Boakye Due By: 08/08/2011 Candidate’s Name-Andre Stevenson INSTRUCTIONS: Answer ALL the questions in PART I and PART II Part 1 (40 points) 1. The WXY Corporation has fixed costs of $50. Its total variable costs (TVC) vary with output as shown in the following table. Refer to the table. The average total cost of 4 units of output is A. $27.50 B. $40.00 C. $52.50 D. $210.00 2