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Why is it important to understand linear equations in business? In particular can you provide examples where the relationship between items that can be affected by management and ‘items’ that management wished to achieve or attain may be ‘linear’. Can you think of items for which the relationship in NOT linear?
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https://brainmass.com/business/business-management/linear-equations-to-help-understand-business-222904
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Linear Equations help businesses to plan goals and how to reach them by providing formulas that can test variables in an effort to find solutions. A linear equation uses a constant, such as number of employees, and variables (costs, hours of work, resources) to find the potentially best way to make a profit.
In the retail market, a small boutique might want to achieve the goal of selling the entire line of Armani perfumes. The constant would be the nine employees who work in the boutique. A linear equation that includes amount of time per week the company is open or the commission each employee makes on a sale of Armani. If the employees focus on other perfumes rather than Armani, should the commission be higher? Should the …
