MG2452 / MG52 - Engineering Economics & Financial Accounting -syllabus

UNIT I                         INTRODUCTION                              5

Managerial Economics - Relationship with other disciplines - Firms: Types, objectives

and goals - Managerial decisions - Decision analysis.

UNIT II                                    DEMAND & SUPPLY ANALYSIS   10

Demand - Types of demand - Determinants of demand - Demand function - Demand

elasticity - Demand forecasting - Supply - Determinants of supply - Supply function -

Supply elasticity.

UNIT III                       PRODUCTION AND COST ANALYSIS     10

Production function - Returns to scale - Production optimization - Least cost input -

Isoquants - Managerial uses of production function.

Cost Concepts - Cost function - Determinants of cost - Short run and Long run cost

curves - Cost Output Decision - Estimation of Cost.

UNIT IV                       PRICING                                                       5

Determinants of Price - Pricing under different objectives and different market structures

- Price discrimination - Pricing methods in practice.

UNIT V            FINANCIAL ACCOUNTING (ELEMENTARY TREATMENT)     10

Balance sheet and related concepts - Profit & Loss Statement and related concepts - -

Financial Ratio Analysis - Cash flow analysis - Funds flow analysis - Comparative

financial statements - Analysis & Interpretation of financial statements.

UNIT VI           CAPITAL BUDGETING (ELEMENTARY TREATMENT)             5

Investments - Risks and return evaluation of investment decision - Average rate of return

- Payback Period - Net Present Value - Internal rate of return.

                                                                                                TOTAL : 45 PERIODS

REFERENCES:

1. Samuelson. Paul A and Nordhaus W.D., 'Economics', Tata Mcgraw Hill

Publishing Company Limited, New Delhi, 2004.

2. McGuigan, Moyer and Harris, 'Managerial Economics; Applications, Strategy and

Tactics', Thomson South Western, 10th Edition, 2005.

3. Paresh Shah, 'Basic Financial Accounting for Management', Oxford University Press,

New Delhi, 2007.

4. Salvatore Dominick, 'Managerial Economics in a global economy'. Thomson South

Western, 4th Edition, 2001.

5. Prasanna Chandra. 'Fundamentals of Financial Management', Tata Mcgraw Hill

Publishing Ltd., 4th edition, 2005.