Accounting Information System: 6 Component and Disciplines
In this article we discuss about the meaning, components, posotion of AIS in organisation, AIS and Related Disciplines
Types of Elasticity of Demand | 5 Degrees | Measurement | Factors
The relative responsiveness of a supply or a demand curve in respect to price is referred as elasticity. If the curve is more elastic then it means the more quantity will be changed in respect to price change.
Detailed Indifference Curve Approach & Indifference Map
The representation of different combinations of two goods on a curve is done by indifference curve that provides a consumer equal level of satisfaction. Between these curves the consumer is indifferent as he gets equal satisfaction from all the combinations.
Detailed Discussion on Demand Forecasting and its Needs
Forecasting is a technique that facilitates the process of planning and enabling efficient decision-making. By this estimates, projections are made for the future. Combining the aspect of forecasting with demand, it serves with the future projections regarding the quantity demanded in precise. Certain questions like which product will be in demand
Demand Function
An algebraic expression which shows the relationship between demand for a commodity and its various determinants that affect this quantity is known as demand function.
Assumptions and Conditions of Consumer Equilibrium
“A consumer is in equilibrium when he regards his actual behaviour as the best possible under the circumstances feels no urge to change his behaviour as long as circumstances remain unchanged”.
utility is value-in- use of a commodity. Utility is the derivative of consumption which implies subjective satisfaction. Simply, ‘utility’ describes consumer preferences according to modern theory of consumer behaviour.
Theory of Demand | 7 Objectives of Demand Analysis
The demand refers to a consumer’s willingness for such quantity of goods and services and ability to pay for same at various prices dealing within a period of time. In economics, demand is something more than desire to purchase. For example, if any person is feeling hunger but he does not have money to pay for it, in that case his demand is ineffective. Effective demand involves three things Desire,
Means to purchase, and Willingness to use those means for that purchase.
8 Popular Role of Managerial Economics in Decision Making
1.Opportunity Cost Principle
The sacrifice of alternative courses of action for any decision is referred to as opportunity cost. Opportunity cost may be defined as, ‘the revenue foregone or opportunity lost by not using the resources in second best alternative use’. It is also called imputed cost. Measurement of sacrifice is done by opportunity cost. The sacrifice which is made for taking a decision is measured by opportunity cost. This concept can be explained by following points.
6 Uses | Relationship of Managerial Economics with other Disciplines
Managerial Economics and Statistics: Statistical tools are playing very important role in business decision-making. Statistical techniques are used in collecting, processing and analysing data, testing the validity of the economic laws with the real economic phenomenon before they are applied to business analysis.
Top 7 Significance | Importance of Managerial Economics
Here we will discuss the top 7 importance of managerial economics or you can say the significance of managerial economics in a business or as an organization. If you want to perform better then you need to understand managerial economics. Let’s start and read till to end. Managerial economics uses economic theory and analysis in business…
Read More “Top 7 Significance | Importance of Managerial Economics” »