Managerial Economics (ECON112D) Practice Flashcards

Comprehensive vocabulary flashcards covering the Program Educational Objectives, course outcomes, and key economic terms for the Managerial Economics syllabus (ECON112D).

Program Educational Objectives (PEOs)

Statements describing the career and professional accomplishments of BSAIS graduates $3$ to $5$ years from graduation.

Effective Collaborator and Communicator

A PEO where graduates must engage in collaborative decision-making in the field of accounting information system, finance, and business through competent communication strategies.

Analytical and Creative Thinker

A PEO where graduates must solve technical and adaptive problems through the application of management accounting tools and techniques for sustainable value creation.

Lifelong Learner

A PEO where graduates commit to continuing professional development through formal, non-formal, and informal learning modes.

Managerial Economics

The study of microeconomic theories and quantitative techniques to analyze managerial choices and application to business decision-making.

Introductory Course (I)

A level in the course syllabus indicating an introductory course to a specific program outcome.

Enabling Course (E)

A level in the course syllabus indicating a course that strengthens a specific program outcome.

Demonstrative Course (D)

A level in the course syllabus indicating a course demonstrating a specific program outcome.

Marginal Analysis

A decision-making tool used to analyze the relationship among price, output, revenue, and cost by comparing marginal revenue and marginal cost.

Marginal Revenue

The additional income from selling one more unit of a good; used to determine optimal decisions in profit maximization.

Marginal Cost

The additional cost incurred by producing one more unit of a good; compared against marginal revenue to reach optimal decisions.

Price Elasticity

A measure used in demand analysis to evaluate how changes in price affect business decisions and revenue maximization.

Regression Analysis

A method used in demand forecasting to estimate demand using quantitative data and spreadsheet applications.

Production Function

A concept explaining the components of production and the relationship between inputs and outputs in the short-run and long-run.

Economies of Scale

Cost advantages that an organization identifies when production becomes efficient, typically as the scale of production increases.

Economies of Scope

Cost efficiencies derived from a business producing a variety of products together rather than each product separately.

Transfer Pricing

Strategies used for pricing goods or services traded between different units or divisions within the same organization.

Perfect Competition

A market structure characterized by many buyers and sellers, market efficiency, and high sensitivity to trade barriers and economic welfare.

Monopoly

A market structure where a single producer or seller controls the supply of a product or service.

Oligopoly

A market structure characterized by a small number of firms and strategic interactions in pricing and output decisions.

Bundling and Tying

Marketing strategies where multiple products are sold as a package or where the purchase of one good is contingent on purchasing another.

Game Theory

The study of strategic interactions among firms, analyzing payoff matrices and competitive or cooperative strategies.

Benefit-Cost Analysis

A systematic approach to estimating the strengths and weaknesses of alternatives to determine options which provide the best approach to achieving benefits.

Decision Trees

Analytical tools used for sequential decision-making situations under conditions of uncertainty, probability, and expected value.

Risk Aversion

A concept evaluating how a manager's preference to avoid uncertainty affects their business decisions.

Academic Dishonesty

Acts including copying from any source, allowing others to copy work, taking tests under someone else's name, or altering papers for a regrade.

Passing Requirement

Minimum final grade of $60\%$ or a grade equivalent of $3.0$ required to pass the ECON112D course.