- One challenge you face on a daily basis in business is calculating decision-making information when you only know part of the information. For example, if you know your fixed cost (FC), your variable costs per unit (VCu), your price per unit (P) and the number of units (U) sold, you can use a mathematical equation to determine your net income (NI). In this example, the formula is:
NI = [U * (P-V*Cu)] – FC
What is an equation (mathematical formula) that you have used to solve a problem?
Describe the problem. What are the variables?
Using the order of operations, explain how you would do the calculations. For example, using the Net Income equation:
a. Multiply V by Cu
b. Price minus product of V by Cu
c. Multiply U by (the price minus product of V by Cu)
d. Subtract the FC from the product of U times ( the price minus product of V by Cu)
(Please provide an example that a classmate has not already used. Also, if you do not have an example from your work experience, please feel free to provide an example which you use in your personal life.)
2.Provide business example of when you might use percentages. Use the Portion = Rate x Base equation to calculate one of the three values, given the other two. Tell us why this is calculation is useful to you.
3.Excel is a very powerful tool. As you work through your Excel assignment this week you more than likely learned a new Excel “trick”. Feel free to share the “trick” with the class and explain how it will help you in your workplace or at home
4. What is quantitative reasoning? How do you use it in business and your personal life?