BUSINESS MATHEMATICS & STATISTICS

LECTURE 19 Review Lecture 18 MS EXCEL Financial Functions Perform a break-even analysis.

EXCEL FUNCTIONS FINANCIAL ANALYSIS SLN    Returns the straight-line depreciation of an asset for one period SYD    Returns the sum-of-years' digits depreciation of an asset for a specified period

EXCEL FUNCTIONS FINANCIAL ANALYSIS VDB    Returns the depreciation of an asset for a specified or partial period using a declining balance method XIRR    Returns the internal rate of return for a schedule of cash flows that is not necessarily periodic

LINEAR EQUATIONS Solve two linear equations with two variables Solve problems that require setting up linear equations with two variables Perform linear Cost-Volume-Profit and break-even analysis employing: The contribution margin approach The algebraic approach of solving the cost and revenue functions

SOLVING LINEAR EQUATIONS 2x – 3y = – 6 x + y = 2 Solve for y 2x – 3y = – 6 2x + 2y = 4 -5y = -10 Y = 2

SOLVING LINEAR EQUATIONS 2x – 3y = – 6 x + y = 2 Solve for x Substitute y = 2 2x – 3(2) = – 6 2x - 6 = - 6 2x = 0 x = 0

SOLVING LINEAR EQUATIONS 2x – 3y = – 6 x + y = 2 Solve for x Substitute y = 2 2x – 3(2) = – 6 2x - 6 = - 6 2x = 0 x = 0

Solving Two Equations with Two Unknowns check your answer by substituting the values into each of the equations Equation 1: 2x – 3y = -6 x = 0 y = 2 LHS = 2x – 3y = 2(0)-3(2) = -6 = RHS Equation 2 : x + y = 2 LHS = = x + y = 0 +2 = 2 = RHS

BUSINESS MATHEMATICS & STATISTICS