BUSINESS MATHEMATICS

ASSIGNMENT: SUMMARY OF CHAPTER – 1

AND CASE STUDIES

By Adil Tariq
Riphah International University
BBA-1

Submitted to: Sir Mohammad Burhan

1st December 2014
 SUMMARY OF CHAPTER – 1
REVIEW OF WHOLE NUMBERS AND INTEGERS

DECIMAL NUMBER SYSTEM

Our decimal number system uses ten symbols called digits: 0,1,2,3,4,5,6,7,8,9. Numbers in the decimal number
system can have one or more digits. One set of numbers in the decimal number system is called whole numbers
which include zero and the counting or natural numbers. Most business calculations involving whole numbers
include one or more of four basic mathematical operations which include addition, subtraction, multiplication,
and division.

READING WHOLE NUMBERS AND INTEGERS

For reading whole numbers, following steps can be taken into consideration. First of all, separate the
number into periods beginning with the rightmost digit and moving to the left, (period is
a group of three place values in the decimal number system e.g., units, thousands,
millions, billions and trillions) then identify the period name of the leftmost period. For
each period (beginning with the leftmost period), read the three digit number from left to
write and then name the period. However, there is no need to read or name a period that is all zeros or
the unit’s period need to be named. Also, the word and is never part of the word name for a whole number. For
example, “574” is read as five hundred and seventy-four.

In case of writing whole numbers, begin recording digits from left to right; then a comma is to be inserted at
each period name. Every period after the first period must have three digits; zeros can be inserted where
necessary. For example forty billion, seventeen million, six hundred and seventy-nine is written as
40,017,000,679.

ROUNDING-OFF WHOLE NUMBERS AND INTEGERS

Rounded number is an approximate number that is obtained from rounding an exact amount. For rounding-off
whole numbers, find the digit in the specified place and look at the next digit to the right, if this digit is less than
five, replace it and all other digits with zeros e.g. 6,204 is written as 6,000 when rounded-off to the nearest
thousand. However, if the right side digit is five or more, add 1 to the digit in the specified place and replace all
digits to the right or specified place with zeros e.g. 5,284 is written as 5,300 when rounded-off to the nearest
hundred.

For reading integers, the rules are the same as for reading whole numbers. However, state the word “negative”
or “minus” as a number is read that is less than zero. Other words such as loss or debt may be used to indicate a
negative amount. In business applications, negative numbers are sometimes enclosed in parentheses i.e. -21 is
written as (21). For rounding-off integers, the rules are the same as for rounding whole numbers.

OPERATIONS WITH WHOLE NUMBERS AND INTEGERS

As mentioned earlier, business calculations involve one or more of four basic mathematical operations which
include addition, subtraction, multiplication, and division.

Addition & Subtraction: Whole Numbers

For adding whole numbers, first the exact sum is calculated by adding the numbers through mental math or by
using a calculator and then check the exact sum by adding the numbers a second time e.g.

Addends 13 + 7 = 20 sum or total

Numbers being added are called addends and their answer is named as sum or total.
Subtraction of whole numbers involve subtraction of one number from another, the number subtracted from is
called the minuend. The number being subtracted is called the subtrahend. The result of subtraction is called
difference. So subtraction of whole numbers is done through finding of exact difference by subtracting the
numbers by in mind or by using a calculator. It should be made sure to put the minuend on top or enter it first
on the calculator. Then check the exact difference by adding the difference and the subtrahend. The sum should
equal the minuend e.g.

135 minuend
- 67 subtrahend
68 difference

Addition & Subtraction: Integers

For adding integers, it depends on integers’ nature for how they will be added. Negative integers are added
without regard to the signs e.g. (-5) + (-6) = -11

A positive and negative integer addition involves subtraction of the integers without regard to the signs. Now
look at the numbers without the signs; choose the larger of these numbers and then assign the sum the sign that
was in front of the larger of the numbers e.g.

Step – 1: 20 – 15 = 5

Step – 2: + 20 – 15 = 5 Integer calculation

For subtracting integers, firstly change a subtraction problem to an equivalent addition problem then rewrite the
problem as adding the minuend and the opposite of the subtrahend. Finally, apply the appropriate rule for
adding integers such as a positive and negative integer calculation mentioned above.

Multiplication of Whole Numbers & Integers

Multiplication is a shortcut for repeated addition. In order to multiply whole numbers and integers, there are
factors to required including a multiplicand (the number being multiplied) and a multiplier (the number
multiplied by) to get partial products; in order to get the final product, the partial products are added together to
produce an outcome or final answer of the multiply calculation. In case of integers’ multiplication, the sign of
the larger number (whether it is of multiplier or multiplicand) is written with the answer e.g.

Step – 1: 75
x 36
450
Step – 2:
+ 225
Final step 2700

Division of Whole Numbers & Integers

When dividing one number by another, the number being divided (total quantity) is called the dividend. The
number divided by is called the divisor. The result of division is called the quotient. When the quotient is not a
whole number, the quotient has a whole-number part and a remainder. When a dividend has more digits than a
divisor, parts of the dividend are called partial dividends, and the quotient of a partial dividend and the divisor
is called a partial quotient.

Two types of common business situations require division. Both types involve distributing items equally into
groups.
 38 Distribute a specified total quantity of items so that each group gets a specific equal share as division
determines the number of groups.

For example, 78 crystal vases need to be shipped. With appropriate packaging to avoid breakage, only 5 vases
fit in each box. How many boxes are required? You divide the total quantity of vases by the quantity of vases
that will fit into one box to determine how many boxes are required.

2. Distribute a specified total quantity so that we have a specific number of groups. Division then determines
each group’s equal share.

For example, how many ounces will each of four cups contain if a carafe of coffee containing 32 ounces is
poured equally into the cups? The capacity of the carafe is divided by the number of coffee cups:
32 ounces / 4 coffee cups = 8 ounces. Therefore, eight ounces of coffee are contained in each of the four cups.

APPLYING THE STANDARD OF OPERATIONS TO A SERIES OF OPERATIONS

In such cases, the BDMAS rule (Brackets, Division, Multiplication, Addition & then Subtraction) is applied
where firstly; we perform all operations that are inside grouping symbols such as parentheses. Then we perform
all multiplications and divisions as they appear from left to right. Finally, all additions and subtractions are
performed as they appear from left to right e.g.

Step – 1: (10 + 20) / 5 x 6 + 2 – 1 firstly solve parenthesis

Step – 2: 30 / 5 x 6 + 2 – 1 then divide

Step – 3: 6x6+2–1 multiply (6 x 6) in the third step

Step – 4: 36 + 2 – 1 perform addition

Final Step: 38 – 1 finally perform subtraction

Answer: 37
 CASE STUDIES

CASE STUDY 1-1: TAKE THE LIMO LINER

QUESTION NO 1
QUESTION NO 2
 QUESTION NO 3

The second Case Study is on the following page

Please Scroll down…

CASE STUDY 1-2: Leaky Roof? Sanderson Roofing Can Help

QUESTION NO 1 & 2

QUESTION NO 3