UNIVERSITY OF NAIROBI

SCHOOL OF BUSINESS

MASTERS OF BUSINESS ADMINISTRATION (MBA)

DMS 501: QUANTITATIVE ANALYSIS

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COURSE SYLLABUS

INTRODUCTION

Quantitative evidence is an important asset in decision making situations. A major component in business is decision making. Business students should therefore have an adequate knowledge in quantitative analysis tools and procedures.

This course will provide an overview of quantitative methods used for modeling of business problems, whose solutions are then sought through the use of mathematical and statistical tools. The scope of the course includes matrix algebra, functions, calculus, probability and statistics.

As a prerequisite, the students will be assumed to have attained a level of knowledge equivalent to that from the foundation courses, such as, introductory statistics and basic quantitative techniques. The course is aimed at deepening and extending the previous knowledge and places greater emphasis on the applications of the techniques covered.

COURSE OBJECTIVES

1. The primary objective of this course is to acquaint the students with the variety of quantitative concepts, tools and techniques relevant in business data analysis and decision making. The emphasis will be on the application rather than on the mathematical proofs.

2. The student will be expected to ascend from mere memorization of formulae and mechanical substitution to the understanding of the underlying relationships and ability to apply the same in new situations.

3. The student will be expected to acquire a foundation, based upon common sense, for checking accuracy and evaluating reasonableness of any answer calculated or computed.

4. The student should be able to communicate intelligently with professionals and specialists in the field with an understanding and perspective of the situation as seen through their eyes.

COURSE CONTENT

PART I: ALGEBRA

1. Matrix Algebra

- Operations on matrices

- Applications of matrices

- Data storage

- Systems of equations

- Markov processes

- Input-output analysis.

2. Functions

- Definition and Establishment

- Polynomial functions

- Exponential and logarithmic functions

- Multivariate functions.

3. Calculus

- Definition

- Rules of differentiation

- Optimization of univariate functions

- Optimization of multivariate functions

- Constrained optimization

- Integration and its applications.

PART II: STATISTICS

1. Descriptive statistics

- Definition of statistics

- Statistical method

- Sampling procedures

- Data collection procedures

- Data presentation

- Descriptive measures.

2. Probability

- Basic concepts

- Sets and their applications

- Bayes theorem

- Decision theory and decision trees

3. Probability Distributions

- Random variable

- Discrete probability distributions

- Continuous probability distributions

4. Inferential Statistics

- Point estimation

- Sampling distribution

- Interval estimation

- Hypothesis testing

5. Regression and Correlation

- Meaning and purpose

- Parameter estimation - simple linear model.

- Fitness of overall model - R2 and F-tests

- Significance of regression parameters

- Correlation and its applications.

MODE OF ASSESSMENT

Assignments and Attendance - 30%

Continuous Assessment Test(s) - 20%

Final Examination - 50%

Total - 100%

RECOMMENDED BOOKS

1. Frank S. Budnick - Applied Mathematics for Business, Economics &

Social Science. (U.o.N Bookshop & Textbook Centre)

2. Martin A.& Norman B. - Mathematics for Economics and Finance: Methods of Modeling. (Textbook Centre)

3. David Bailey - Mathematics in Economics (Textbook Centre)

4. Louise Swift - Quantitative Methods for Business, Management and Finance. (Textbook Centre).

5. Lucey T. -Quantitative Techniques (Textbook Center & other

Bookshops).

6. Dinwiddy C. -Elementary Mathematics For Economists (UoN Bookshop)

7. Lyman C.P. -Basic Mathematics for Management and Economics (UoN Bookshop)

8. C.R.Kothari -Quantitative Techniques (Book Point)

9. John Curwin & -Quantitative Methods for Business Decisions

Roger Slater (Textbook Center & U.o.N. Library)

10. Donald Walters -Quantitative Methods for Business (Textbook Centre)

11. Wannacott T.H. -Introductory Statistics for Business and Economics

(Textbook Center & U.o.N. Library)

12. Lawrence L.Lapin -Statistics for Modern Business Decisions 5thh Ed. 1990

(U.o.N. Library & Bookshop)

13. Mensfield -Statistics for Business & Economics

(University of Nairobi Library)

14. Ingaram -Statistics for Business

(University of Nairobi Library)

15. Harper -Statistics: (University of Nairobi Library)

16. Allan Webster -Applied Statistics for Business & Economics

(University of Nairobi Library)

NB: Other relevant materials viz. Journals and texts, may be found in the libraries, bookshops or other sources. Seldom do you find one text that adequately covers all the topics in a syllabus.

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