This document outlines the topics to be covered in two units for an engineering economics and management course. Unit 1 introduces economics and the differences between micro and macroeconomics. It also covers the theories of demand and supply and elasticity of demand. Unit 2 focuses on the theory of production and costs, including factors of production, production functions, laws of return, cost concepts, and break even analysis with examples of calculating break even points, profits, and price-volume ratios.

1. EngineeringEconomicsandManagement
Assignment 1
Unit 1: Introduction to Economics
1) Define Economics and Scope of Economics.
2) Explain Theory of Demand and Supply.
3) Differentiate between Macro Economics and Micro Economics.
4) Explain Elasticity of Demand in detail.
Unit 2: Theory of Production and Cost
1) Explain various Factors of Production.
2) Differentiate between Long Run and ShortRun production functions.
3) Explain Law of Returns to Scale and Law of Return to Variable Factors.
4) Define different type of Costs Concepts.
5) Explain concept of Break Even Analysis.
6) Example of Break Even Analysis.
1) If the Sales is 10,000 units and selling PriceRs 20 per unit ,variable
cost rs10 per unit and
Fixed cost is rs80, 000; find outBEP in units and in sales revenue.
What is Profitearned?
What should be the sales for earning the profit?
2) The PV ratio of Matrix ltd is 40% and Margin of Safety is 30%.You is
required to work outthe BEP and net profitif the Sales volumeis rs
14000?
3) Sale of Productamounts to 20 units per month rs 10 per unit. Fixed
overheads arers 400 per month and variablecost rs 6 per unit. There
is a proposalto reduce prices by 10%.Calcualtethe present and
future PV ratio.