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Managerial economics is generally defined as an important area of economics. It is related to the application of economic concepts which plays a vital role in making a rational decision. The managerial economics assignment experts have defined the concepts of managerial economics in the following ways:
The Incremental Concept: This concept is easy to define but difficult to apply. Our experts say that “Incremental concept involves with the evaluation of the effect of resolution over revenues and costs. Here, the total revenue result from the changes in products, prices, investments, procedures, etc”.
Time Perspective: In economics, we draw a time distinction between the long run and short run. These distinctions cannot be drawn on the basis of a calendar basis, such as a month, a quarter or a year. It is based on the speed with which decisions are made and the production factor.
Discounting Principle: The rationale of discounting is just like a bird in the hand is worth two in the bush. The given proverb can be explained here as the value which will be received in the future depends on the current financial terms. For example: Suppose, the rate of interest is 5%, the present value of Rs. 100 to be received after one year is:
PV = present value
i = rate of interest
We understand that there are several theories and concepts of managerial economics which are not easy to understand for a student. Due to which they face issues in dealing with the topics as well. Our managerial economics assignment experts have covered various topics which are listed below:
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