Unit I: Limits and Differentiation
Constants, variables and Functions, Limits of algebraic functions -Differentiation – Derivatives –
First order and second order Derivatives – Maxima & Minima – application to Business.
problems.
Unit II: Integration
Elementary integral calculus – method of substitution – determining Infinite and definite
Integrals of simple functions – Integration by parts.
Unit III: Applications of Differentiation and Integration in Economics and Commerce
Cost function and average cost function from Marginal cost function – Revenue function and
demand function from Marginal Revenue function – consumer surplus – producer൙s surplus.
Unit IV: Capital Budgeting and Depreciation
Net Present value – Internal rate of return – Capital cost and Capital Budgeting – Depreciations –
straight line method – constant percentage method.
Unit V: Contingent Payments & Life Annuities and Life Insurance
Contingent Payments: Introduction – probability – mathematical expectation – contingent
payments with time value.
Life Annuities and Life Insurance: Introduction – Mortality tables ൓ pure Endowments – Life
Annuities – life Insurance – Annual Premium Policies.
Text Books:
1. Business Mathematics and Statistics by Navnitham , P.A, Jai Publishers Trichy -21
(For Units I, II and III) , April 2011.
2. Mathematics of finance Second edition by Petr zima, Robert L. Brown, Tata Mc.Graw ൓
Hill Publishing Company Limited, New Delhi – 1996. (For Units IV and V)
Unit IV: Chapter 9: Sections: 9.1-9.4.
Unit V: Chapter 10: Sections: 10.1-10.4.
Chapter 11: Sections: 11.1-11.6.

Reference Books:
1. Business Mathematics ൓ P.R. Vittal, Margham Publications ൓ Reprint ൓ 1999.

2. Introduction to Business Mathematics by Sundersan and Jayaseelan, Sultan chand Co &Ltd,
New Delhi, 1998.
3. Business Mathematics by Sanchetti D.C and Kapoor , V.K, Sultan chand Co &Ltd , Newdelhi,
2007 Reprint edition.