Business Mathematics
Module 1 - Syllabus
• Number systems (Natural, Integers, Fractions) and their operations
• LCM of numbers
• Application of Ratios and Proportions
• Percentages
• Mathematics of Finance-Simple Interest and Compound interest
Number Systems
• The number system is a system for representing numbers on the Number
Line in Number Theory using a collection of symbols and rules.
Number System Description
Decimal Number System Base 10 representation using digits 0 to 9.
Binary Number System Base 2 representation using digits 0 and 1.
Octal Number System Base 8 representation using digits 0 to 7.
Hexadecimal Number System Base 16 representation using digits 0 to 9 and letters A to F.
Ancient system using letters: I (1), V (5), X (10), L (50), C (100), D (500), M
Roman Number System
(1000). Other numbers are represented using combinations of these letters.
• Place Value – Position of a digit in the
number
• Face Value – The actual value of a digit in
a number
• Factor - A factor is a number that divides
the given number exactly, without any
remainder.
• Multiple - A multiple of a number is the
number obtained when the given number is
multiplied with an integer.
Types of Numbers
Type Description Examples
Counting numbers starting from 1, denoted by N, including positive
Natural Numbers 1, 2, 3, 4, 5, . . .
integers.
Whole Numbers Natural numbers including zero, denoted by W. 0, 1, 2, 3, 4, . . .
Integers Whole numbers along with their negatives and zero, denoted by Z. . . ., -3, -2, -1, 0, 1, 2, 3, . . .
Rational Numbers Numbers expressible as a ratio of two integers, denoted by Q. 1/2, 3/4. 7/3 . . .
Numbers that cannot be expressed as a ratio of two integers, often with
Irrational Numbers √2, π, e, . . .
non-repeating, non-terminating decimals. Denoted by Q’
Union of rational and irrational numbers, representing all points on the
Real Numbers -3.14, 0, 2.718, √3, . . .
number line, denoted by R.
Numbers of the form bi, where b is a non-zero real number and i is the
Imaginary Numbers 2i, −3i, 1/2i, . . .
imaginary unit.
Numbers of the form a+bi, where a and b are real numbers, and i is the
Complex Numbers 3+4i, 2−i, −1+2i, . . .
imaginary unit, denoted by C.
Numbers based on divisibility
Type Description Examples
Natural numbers greater than 1 with no
Prime Numbers 2, 3, 5, 7, 11, 13, 17, …
positive divisors other than 1 and itself.
Natural numbers greater than 1 that are
Composite Numbers not prime, having divisors other than 1 4, 6, 8, 9, 10, 12, 14, …
and itself.
Odd Numbers Integers not divisible evenly by 2. -3, -1, 1, 3, 5, 7, …
Even Numbers Integers divisible evenly by 2. -4, -2, 0, 2, 4, 6, …
Arithmetic Operations
Operation Description Symbol Example
Combining two or more numbers to find their
Addition + 5 + 3=8
sum.
Subtraction Finding the difference between two numbers. – 9−4=5
Repeated addition; finding the product of two
Multiplication ×, * 2 × 6 = 12
numbers.
Sharing or partitioning a quantity into equal
Division ÷, / 12 ÷ 3 = 4
parts.
Repeated multiplication; raising a number to a
Exponentiation ab 23 = 8
power.
Finding the number which, when multiplied by
Square Root √ √(16) =4
itself, gives the original number.
Properties of Numbers
Property Description Example
The result of an operation on two numbers from a set is Addition: 2+3=5 is a member of
Closure Property
also a member of that set. the set of integers.
Changing the order of operands in an operation does not
Commutative Property Addition: 2+3=3+2
change the result.
Changing the grouping of operands in an operation does Addition: (2+3)+4=2+(3+4)
Associative Property
not change the result. Multiplication: (2×3)×4=2×(3×4)
The result of an operation with a specific identity
Identity Property Addition: 5 + 0 = 0 + 5=5
element and any number remains the same.
For every element, there exists an inverse element such
Inverse Property Addition: 5+(−5)=0
that their sum is the identity element.
Multiplication over addition:
Distributive Property The operation distributes over addition or subtraction.
2×(3+4)=2×3+2×4
LCM & HCF (LCM of two numbers) × (HCF of two numbers) = Product of two
numbers
• Common Multiple – When two or more numbers have the same number
as their multiples, they are said to be common multiples.
The Least Common Multiple of two or more numbers is the least number
that is a multiple of those numbers.
The Highest Common Factor (HCF) of two numbers is the highest possible
number that divides both the numbers completely. The Highest Common
Factor (HCF) is also called the Greatest Common Divisor (GCD).
Ratio and Proportions
• Ratio is the number that can express one
quantity as a fraction of the other. “a:b”
The relation between two similar quantities where one
quantity is how many times or what part of the other quantity
• Proportion is an equation that defines that a:b :: c:d
‘b’ and ‘c’ are ‘means or mean term,’
the two given ratios are equivalent to each
‘a’ and ‘d’ are ‘extremes or extreme terms.’
other. “a:b::c:d”
Proportion can be classified into two categories
Direct Proportion Indirect Proportion
If one quantity increases
When one quantity
other also increases and
increases other decreases
vice versa.
a∝(1/b)
a∝b
Properties of Proportion
• Addendo – If a : b = c : d, then a + c : b + d
• Subtrahendo – If a : b = c : d, then a – c : b – d
• Dividendo – If a : b = c : d, then a – b : b = c – d : d
• Componendo – If a : b = c : d, then a + b : b = c+d : d
• Alternendo – If a : b = c : d, then a : c = b: d
• Invertendo – If a : b = c : d, then b : a = d : c
• Componendo and dividendo – If a : b = c : d, then a + b : a – b = c + d : c – d
Fourth, Third and Mean Proportional
If a : b = c : d, then:
• d is called the fourth proportional to a, b, c.
• c is called the third proportion to a and b.
• Mean proportional between a and b is √(ab).
Percentage
Percentages are numerators of fractions with denominator 100