Mathematics for Economics and Business 2 (ECON2204)
Faculty of Economics and Management Science (FEMS)
Semester: Second Semester
Level: 200
Year: 2016
Continuous assessment
DURATUION: 1hour
INSTRUCTIONS: answer all questions and clearly show all solving steps
Question one (07.5)
a) A project costing 2,000,000 FRS has a continuous income stream at a constant rate of
200,000frs per year.
- What is the present value of the income stream it the investment last for 12years?
- Is the investment project profitable?
Question two (7.5)
A company has a net investment function given as:
=30
.
+ 10. Find the capital
accumulation function if
=500 and hence find the capital accumulated between the
following period [2, 5] and [0, 5]
Question three (10 points)
A certain company desire to produce three sets of goods arrange in the following matrix form
=
5 −1 −1
−1 5 −1
−1 −1 5
Show that the prime production of this company is:
=
; whereby;
= inverse of
matrix A; =the adjoint or cofactor matrix of A, otherwise known as the passage matrix of A.
Question four (5points)
Calculate
1 2 1 1
2 1 1 1
1 1 1 2
1 1 2 1
THE UNIVERSITY OF BAMENDA
FACULTY OF ECONOMICS AND MANAGEMENT SCIENCES
Semester
Course : Maths for Econs and Business 2
Course : ECON204
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