Diploma in Managerial Economics - Theory of Production and Cost
Study different methods of sales forecasting and master the theory of diminishing returns in this free diploma course.
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This wide-ranging course in the theory of production and costs, starts with demand forecasting, then it works through the theory of production, and ends with the theory of costs. First, you will be taught how best to predict the future demand for the products of a firm, using the subjective methods of demand forecasting. Quantitative methods, with some emphasis on econometric methods of demand forecasting, will also be specifically addressed.
Next, you will learn about the factors of production, labour and capital in particular, and the production function. Study the law of diminishing returns and how the ‘rational producer’ can operate, along with specific equilibrium conditions and the optimal combination of inputs. You will also learn about the various categories of production costs. By the end of the course, the complex algebra of the break-even analysis will be broken down, along with the importance of economies of scale.
This diploma course covers key concepts in managerial economics, allowing you to significantly better your understanding of demand forecasting, along with the theories of production and costs. It will be of substantial interest to business and sales managers who want to have a positive impact on their companies’ bottom lines. Students preparing for managerial careers will find the course particularly important. So, why wait? Start this course today and significantly improve your knowledge of the production, costing and demand forecasting.Start Course Now
Demand Forecasting – Learning Outcomes
Importance of Demand Forecasting
Subjective Methods of Demand Forecasting
Quantitative Methods of Demand Forecasting
Demand Forecasting – Lesson Summary
Theory of Production
Theory of Production – Learning Outcomes
The Concept of Production
The Law of Diminishing Return
The Long Run Production Analysis
The Production Functions
Theory of Production – Lesson Summary
First Course Assessment
Theory of Costs
Theory of Costs – Learning Outcomes
Categories of Production Costs
The Short Run and Long Run Analyses
The Break-Even Analysis
Profit Volume Ratio and Margin of Safety
Economies of Scale
Theory of Costs – Lesson Summary
Second Course Assessment
Upon successful completion of this course, you will be able to:
- Define 'demand forecasting'
- Explain the typical steps for systematic demand forecasting
- Discuss the subjective methods of demand forecasting
- Distinguish between the various types of quantitative methods of demand forecasting
- Discuss the theory of production
- Describe the production function
- List the properties of Cobb-Douglas production function
- Define the conditions of equilibrium
- Distinguish between the various categories of costs
- Contrast the short-run costs to long-run costs
- Explain the break-even analysis
- Define 'economies of scale'
All Alison courses are free to enrol, study and complete. To successfully complete this Diploma course and become an Alison Graduate, you need to achieve 80% or higher in each course assessment. Once you have completed this Diploma course, you have the option to acquire an official Diploma, which is a great way to share your achievement with the world. Your Alison Diploma is:
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