DIBM 0122 RESIT.doc - DIBM 0122 CHUKA UNIVERSITY UNIVERSITY...

DIBM 0122
CHUKA UNIVERSITY
UNIVERSITY EXAMINATIONS
EXAMINATION FOR THE AWARD OF DIPLOMA IN PROCUREMENT AND
LOGISTICS MANAGEMENT, DIPLOMA IN ACCOUNTANCY AND DIPLOMA IN
BUSINESS MANAGEMENT
DIBM 0122: BUSINESS MATHEMATICS 2
STREAMS: DIPLOMA DIBM, DIAC& DPLM Y1S2 TIME: 2 HOURS
DAY/DATE: MONDAY 01/11/2021 2.30 P.M. – 4.30 P.M.
INSTRUCTIONS:
 Answer question ONE and any other two questions.
 Do not write on the question paper.
QUESTION ONE
a)
Define the following concepts as applied in business mathematics
i)
Equiprobable events (2 marks)
ii)
Sample point (2 marks)
iii)
Sample space (2 marks)
b)
A firm has analyzed its operating condition prices and costs and have developed the
following total revenue and total cost functions
TR = 400q -4 ? 2 and
TC = ? 2+ 10Q + 30 Where ? is the number of units produced and sold.
Required
i) What quantity should be sold so as to maximize profit (4 marks)
ii) What would be the price at the profit maximization level (3 marks)
c)
Pharmaco hospital is administering Covid-19 vaccines from three suppliers; Pfizer,
Moderna and Janssen. The vacine is administered based on the client’s preference
among the three suppliers. On a particular day the hospital administer vaccines from
the three suppliers comprising of 25%, 40% and 35% from Pfizer, Moderna and
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