Final: 26-11-2021

ALLAMA IQBAL OPEN UNIVERSITY ISLAMABAD

(Department of Business Administration)
***

BUSINESS MATHEMATICS AND STATISTICS (8532/9520)

CHECKLIST

SEMESTER: AUTUMN, 2021

This packet comprises the following material:

1. Course outline;
2. Assignment No.1 & 2
3. Assignment forms (2 sets)

In this packet, if you find anything missing out of the above mentioned material,
please contact at the address given below:

Deputy Registrar (Mailing)

Services Block # 28
Allama Iqbal Open University
H-8, Islamabad.

Ahmed Hassan Jamal

Course Coordinator
 ALLAMA IQBAL OPEN UNIVERSITY ISLAMABAD
(Department of Business Administration)

WARNING
1. PLAGIARISM OR HIRING OF GHOST WRITER(S) FOR SOLVING
THE ASSIGNMENT(S) WILL DEBAR THE STUDENT FROM AWARD
OF DEGREE/CERTIFICATE, IF FOUND AT ANY STAGE.
2. SUBMITTING ASSIGNMENT(S) BORROWED OR STOLEN FROM
OTHER(S) AS ONE’S OWN WILL BE PENALIZED AS DEFINED IN
“AIOU PLAGIARISM POLICY”.

Course: Business Mathematics and Statistics (8532/9520) Semester: Autumn, 2021

Level: MBA (Rural Management)

ASSIGNMENT No. 1
Total Marks: 100 Pass Marks: 50

Note: All questions carry equal marks.

Q. 1 a construction company has bid on two contracts. The probability of winning
contract A is 0.3. If the company wins contract A, then the probability of winning
contract B is 0.4. If the company loses contract A, then the probability of winning
contract B decreases to 0.2. Find the probability of the following events. (20)
(a) Winning both contracts
(b) Winning exactly one contract
(c) Winning at least one contract

Q. 2 The Vice President of sales for the conglomerate you work for has asked you to
evaluate the sales records of two of the firm’s divisions. You note that the range of
monthly sales for division A over the last 2 years is Rs.50,000 and the range of
division B is only Rs.30,000. You compute each division’s mean monthly sales for

2
 the same time period and discover that both divisions have a mean of Rs. 110,000.
Assume that is all the information you have about the division’s sales records.
Would you be willing to say which of the divisions has a more consistent sales
record? Why or why not? (20)

Q. 3 A research physician conducted an experiment to investigate the effects of various

cold-water temperatures on the pulse rate of small children. The data for seven
6-year-old children are: (20)
Child: 1 2 3 4 5 6 7
Temperature of water (oF): 68 65 70 62 60 55 58
Decrease in pulse rate: 2 5 1 10 9 13 10
(beats per minute)
1. Find the least squares line for the data
2. Plot the data and the fitted line

Q. 4 The owner of a retailing organization is interested in the relationship

between price at which the commodity is offered for sale and the quantity
sold. The data is given below: (20)

Price 25 45 30 50 35 40 65 75 70 60
Quantity Sold 118 105 112 100 111 108 95 88 91 96

Find the relationship between the price and the quantity sold.

Q. 5 Given the following data: (20)

x -5 -2 - 3 4 7
y 15 9 7 6 4 1

(a) Determine the regression equation

(b) Use regression equation to determine the predicted value of y.
(c) Calculate the residuals.

3
 ASSIGNMENT No. 2
Total Marks: 100 Pass Marks: 50

This assignment is a research-oriented activity. You are required to select one of the
following topics according to the last digit of your roll number. For example, if your roll
number is D-3427185 then you will select topic number 5 (the last digit). Visit any
business/commercial organization and write a paper of about 1000 words on the topic
allotted to you. Prepare two copies of this report; submit one copy to your tutor for
evaluation and use other for presentation in the workshops, which will be held at the end
of semester prior to your final examination.
(0) Chebyshev’s Inequality
(1) Range and Semi-Interquartile Range
(2) Normal Distribution
(3) Determination of Sample Size
(4) Non Probability Sampling
(5) Use of Regression by Managers
(6) Correlation analysis and its Application in Business
(7) Time Series Analysis
(8) Application of Matrices in Business
(9) Rules for Integration

The report should follow the following format:

1. Title page
2. Acknowledgements
3. An abstract (one-page summary of the paper)
4. Table of contents
5. Introduction to the issue (brief history & significance of issue assigned)
6. Practical study of the organization (with respect to the issue)
7. Data collection methods
8. SWOT analysis (strengths, weaknesses, opportunities & threats) relevant to the
issue assigned
9. Conclusion (one-page brief covering important aspects of your report)
10. Recommendations (specific recommendations relevant to issue assigned)
11. References (as per APA format)
12. Annexes (if any)

GUIDELINES FOR ASSIGNMENT # 2:

 1.5 line spacing
 Use headers and subheads throughout all sections

4
 Organization of ideas
 Writing skills (spelling, grammar, punctuation)
 Professionalism (readability and general appearance)
 Do more than repeat the text
 Express a point of view and defend it.

WORKSHOPS:
The workshop presentations provide you opportunity to express your communication
skills, knowledge & understanding of concepts learned during practical study assigned in
assignment # 2.

You should use transparencies and any other material for effective presentation. The
transparencies are not the presentation, but only a tool; the presentation is the
combination of the transparencies and your speech. Workshop presentation
transparencies should only be in typed format.
The transparencies should follow the following format:
1) Title page
2) An abstract (one-page summary of the paper)
3) Introduction to the issue (brief history & significance of issue assigned)
4) Practical study of the organization (with respect to the issue)
5) Data collection methods
6) SWOT analysis (strengths, weaknesses, opportunities & threats) relevant to the
issue assigned
7) Conclusion (one-page brief covering important aspects of your report)
8) Recommendations (specific recommendations relevant to issue assigned)

GUIDELINES FOR WORKSHOP PRESENTATION:

 Make eye contact and react to the audience. Don't read from the transparencies or
from report, and don't look too much at the transparencies (occasional glances are
acceptable to help in recalling the topic to cover).
 A 15-minute presentation can be practiced several times in advance, so do that until
you are confident enough. Some people also use a mirror when rehearsing as a
substitute for an audience.

WEIGHTAGE OF THEORY & PRACTICAL ASPECTS IN ASSIGNMENT # 2 &

WORKSHOP PRESENTATIONS:
Assignment # 2 & workshop presentations are evaluated on the basis of theory & its
applicability. The weightage of each aspect would be:
Theory: 60%
Applicability (practical study of the organization): 40%

5
6
 BUSINESS MATHEMATICS AND STATISTICS
COURSE OUTLINE (8532/9520)
UNIT–1 DESCRIPTIVE STATISTICS
 Introduction to Statistics
 Role of Statistics in Business
 Constructing a Frequency Distribution
 Graphing Frequency Distribution
 Measures of Central Tendency
 Percentiles, Deciles and Quartiles
 Measures of Dispersion
 Range and Semi-Interquartile Range
 Variance, Standard Deviation
 Coefficient of Variation
 Chebysshev’s Inequality

UNIT–2 PROBABILITY
 Sample Spaces and Events
 Introduction and Rules of Probability
 Conditional Probability
 Probability Distribution
 Discrete Probability Distribution
 Continuous Probability Distribution
 The Binomial Distribution
 The Poisson Distribution
 Hypergeometric Distribution
 The Normal Distribution

UNIT–3 SAMPLING AND SAMPLING DISTRIBUTION

 Population and Sample
 Random Sampling
 Stratifies Random Sampling
 Systematic Sampling
 Cluster Sampling
 Sampling Distributions
 Point and Interval Estimation
 Determination of Sample Size

7
UNIT–4 TESTING OF HYPOTHESIS
 The rationale of Hypothesis Testing
 Type of Errors
 Testing Hypothesis about One Mean
 Testing Hypothesis about Two Means
 Testing Hypothesis about Proportions
 Goodness of Fit
 Contingency Table Analysis

UNIT–5 REGRESSION AND CORRELATION ANALYSIS

 Scatter Diagram and Linear Correlation
 Inferences Concerning Correlation Coefficient
 Linear Regression Equation
 Principle of Least Squares
 Estimating Regression Equation
 Coefficient of Determination
 Multiple Regression and Correlation Analysis

UNIT–6 TIME SEREIS AND INDEX NUMBERS

 Introduction and Components to Time Series
 Measures of Trend and Seasonal Variation
 Time Series Analysis in Forecasting
 Defining and Index Number
 Unweighted Aggregate Index
 Price, Quantity and Value Indices
 CPI and its Uses

UNIT–7 SET THEORY AND SYSTEM OF LINEAR EQUATIONS

 Set Theory, Types of sets
 Methods of Representing sets
 Solution of Linear Systems
 System o
 Linear Equations and its Applications
 Linear Inequalities
 Quadratic Inequalities

UNIT–8 METRICES
 Introduction to Matrix
 Addition and Multiplication of Matrices
 Row Operations and Determinant
 Inverse of a Matrix

8
  Systems of m Equations in n Unknowns
 Applications of Matrices in Business
UNIT–9 DIFFERENTIATION AND INTEGRATION
 The Instantaneous rate of change
 Rules of Differentiation
 Relative Maxima and Relative Minama
 Test for Determination of Maxima and Minama
 The indefinite Integral and Definite Integral
 Methods of Integration

TEXT BOOKS:
1. Budnick, F.S. “Applied Mathematics for Business, Economics and the Social
Sciences” McGraw Hill Ltd.

2. Levin, D. and Richard, D. “Statistics for Management” Prentice Hall Inc.

3. Mason, R.D and Lind, D.A., “Statistical Techniques in Business and Economics”,
9th edition.

4. Wheeler/Peeples “Modern Mathematics” Published by Brooks/Cole Publishing.

======