Business mathematics is mathematics used by commercial enterprises to record and manage business operations. Commercial organizations use mathematics in accounting, inventory management, marketing, sales forecasting, and financial analysis. Mathematics typically used in commerce includes elementary arithmetic, elementary algebra, statistics and probability. Business management can be made more effective in some cases by use of more advanced mathematics such as calculus, matrix algebra and linear programming. In academia, "Business Mathematics" includes mathematics courses taken at an undergraduate level by business students. These courses are slightly less difficult and do not always go into the same depth as other mathematics courses for people majoring in mathematics or science fields. The two most common math courses taken in this form are Business Calculus and Business Statistics. Examples used for problems in these courses are usually real-life problems from the business world.
Importance of business mathematics in the field of business:
There are many factors involved in starting and operating a business. This is true regardless of the size of the business and regardless of whether it operates form a local location or worldwide on the Internet. Any business owner should have some training in various areas such as business math or make sure that that the right people are hired that have the required training.
The importance of business math can’t be overstated. It is not only necessary to keep good records of sales and expenditures so the owner knows where the business stands, but governments at all level require that proper tax records be kept. Records must be kept of sales taxes collected and owed, unemployment and social security taxes paid out and of course the income of the business. It is not necessary to have someone with a degree in accounting to handle these...