MANAGERIAL ECONOMICS AND FINANCIAL ANALYSIS

Managers in their day-to-day activities are always confronted with several issues such as how much quantity is to be supplied; at what price; should the product be made internally; or whether it should be bought from outside; how much quantity is to be produced to make a given amount of profit and so on. Managerial economics provides us a basic insight into seeking solutions for managerial problems. Economics as the name itself implies is an offshoot of two distinct disciplines: Economics and Management. In other words it is necessary to understand what these disciplines are at least in brief to understand the nature and scope of managerial economics.