The University of Lahore

School of Accountancy and Finance

Quantitative Reasoning I

Instructor Name: Email:

Course Code: -------------- Course Cr. Hrs: 3 Hours

I. Course Description

The course is an introduction to the concepts of basic mathematics and

calculus. Also to understand basic mathematics to build a base for financial
analysis.

II. Course Objectives (Cos)

 Understand basic mathematics to build a base for financial analysis and
transform business problems into mathematical equations.
 Understand the coordinate system, equation of straight line, application of
straight line in business and economics
 Perform multiplication and division operations on linear and quadratic
equations, solve quadratic equations by factorization and completing square
method
 Use arithmetic progression in business problems to calculate monthly
installments, total amount paid and total time required, use geometric
progression.
 Calculate interest value using simple interest; calculate interest value using
compound interest.
 Annuities and perpetuities.


III. Learning Objectives (Los)

Learning objective of the syllabus is to develop the ability to
apply quantitative methods to business problems.

IV. Syllabus Topics

 Basic Mathematics
 Basic algebra
 Matrix
 Sequence and series
 Calculation of simple interest
 Calculation of compound interest
 Annuities
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  Ratios, rate and proportion
 Differentiation and integration
V. Evaluation Criteria
Quiz 10%
Assignment 10%
Attendance 5%
Mid Term 35%
Final Term 40%
Total 100%

VI. Teaching-Learning Methodology

 Lectures
 Recommended Text/Supplementary Texts
 Handouts
 Case Studies
 Skill Development Exercises
 Guest Speakers
 Industrial/Corporate Visits
 Project Report/Term Paper

VII. Grading Criteria:

The student’s course score is associated with letter grades as per following grid:

Class Score Grade

85% or above A
<= 80% < 85% A-
<= 75% < 80% B+
<= 70% < 75% B
<= 65% < 70% C+
<= 60% < 65% C
<= 55% < 60% D+
<= 50% < 55% D
Less than 50% F
COURSE OUTLINE

S# Element Sub Category Detailed Contents

MID TERM
1. Basic Basic algebra; function and graphs;
mathematics Factorization of simple and
quadratic equation, solution of liner
equations, exponential and
logarithm functions; Basics of
logarithms, Laws of logarithms,
use of logarithms in business
2. Coordinate Use of brackets, simplification
system rules, co- ordinate system, concept
of equation, gradient, equation of
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 straight line, application of
straight line in business and
economics ;Different forms of
equation of straight line
3. Financial Simple interest, present and
mathematics future values; discounting notes;
bank discount
; compound interest and annuities;
sinking funds, present value
perpetuities effective rate of interest
I.RR, NPV interpolation. Calculate
future values using both simple and
compound interest. Calculation of
present value using formula and
tables.
4. Sequence and Sequences and series
Series Arithmetic and geometric
Progressions; some financial
application of sequences and series.
Use arithmetic progression to
calculate monthly installments,
first installment paid and total time
required for settlement of a loan.
5. Linear Inequalities and their graphs
programming Solution of linear equation by
simplex method and graphical
method. Identify constraints and
cost minimization.
FINAL TERM
1. Matrices and Addition subtraction and
determinants multiplication of matrices, inverse
of a matrix, solution of linear
equation by Cramer rule and
matrices method, Adjoint of 3*3
matrix.
Properties of determinants
2. Differentiation The meaning of the derivative;
standard derivatives; product rule,
quotient rule and chain rule;
Optimization; Curve sketching;
economic application of the
derivation marginal and profit
maximization. Calculate revenue,
cost and profit of a marginal unit
using differentiation techniques
2nd ordered derivative, method to
find maxima and minima, point of
inflection
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3. Integration Indefinite integrals; definite
integrals; Standard integrals;
Substitution method integration
by parts; partial fractions;
Economic applications of
integration ; determination of total
cost from marginal cost, and
cumulative changes
4. Partial Functions of several variables:
differentiation Partial differentiation; Implicit
partial differentiation; Critical
points and their natures;
Optimization; Economic
applications of optimization
constrained optimization and the
Lagrange multiplier method; The
meaning of the language multiplier;
Economic application of
constrained optimization

RECOMMENDED TEXTS:
1- Quantitative methods by ICAP
2- Business mathematics by Mirza and Mirza
3- Business mathematics by Nadeem Akhtar Siddiqui
4- Budnick

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